Hacking Does Nintendo think they can stop the flashcart market?

[deathfisaro]

I don't believe that's true. Asides from Xbox and PS3, I believe most console sales make money. I'm 100% sure the Wii is profitable, and I'm quite sure that each DS sale is profitable too.

I'm pretty sure all current 360 hardware sold result in profit. In year 2005 they might have lost money for every unit sold, but right now? Even after price drops they still generate profit.
As for PS3, either 40GB or 80GB was about break-even earlier this year. They're keeping the 40GB setup with 80GB replaced HDD, which appears to be more cost-efficient than the old 80GB. So, Sony is not losing money for selling PS3s, they're at least break even and probably making profit.

I haven't read a single article about DS/PSP production costs, but I assume both of them are very profitable. Production costs decrease over time, but their prices haven't dropped much, if at all.


Edit:
Well, there are obviously flashcarts sellers all over the place. One of the most interesting places is Richmond, Nintendo Canada western HQ is there and also one of the biggest Chinese community in Canada. Or a kart in a mall, amusingly not too far away from EBGames or HMV or sorts.
Canadians do know about flashcarts, it's just that so many sellers overprice them they killed the flashcart business themselves.

 

[dinofan01]

I don't believe that's true. Asides from Xbox and PS3, I believe most console sales make money. I'm 100% sure the Wii is profitable, and I'm quite sure that each DS sale is profitable too.

I'm pretty sure all current 360 hardware sold result in profit. In year 2005 they might have lost money for every unit sold, but right now? Even after price drops they still generate profit.
As for PS3, either 40GB or 80GB was about break-even earlier this year. They're keeping the 40GB setup with 80GB replaced HDD, which appears to be more cost-efficient than the old 80GB. So, Sony is not losing money for selling PS3s, they're at least break even and probably making profit.

I haven't read a single article about DS/PSP production costs, but I assume both of them are very profitable. Production costs decrease over time, but their prices haven't dropped much, if at all.

Actually no. Microsofts only had two or three profitable months since the launch of the original xbox.

 

[deathfisaro]

Actually no. Microsofts only had two or three profitable months since the launch of the original xbox.

Well, there was an article before the recent price drop. Based on average production cost decreasing speed, Arcade production cost was a good amount below $299.99. Bring PS3 into the picture to get a sense of how fast production costs in game console industry, $250 production cost for an Arcade is a perfectly sound estimate.

I don't know if "profitable months" mean "months where retail price of individual unit was higher than its production cost" or accounting other factors like cost to replace RROD units and etc.

If it's the former, that's very interesting. Nintendo is like "Flashcarts? Meh, whatever" when MS is trying so hard to fight piracy. Some high guy in Sony said Custom Firmwares indeed help PSP hardware sales (although he isn't really happy with that).
Profitable DS + flashcarts = Nintendo lets it slip and just big talk.
Money-losing 360 + flashing = MS replaces drives with Lite-On.

 

[Trippy]

Well I'm pretty sure they know they can't stop it.
However, they definitely can SLOW it down. Piracy will always exist. It's like trying to stop stealing in general, it'll never happen, but you can slow it down which is as good as nintendo can hope to do.

 

[Raven Darkheart]

we all know that one of the main reasons why the NDS is STILL outselling the PSP despite the DS having the "inferior" hardware specs is due in a large part to the Flashcart/Pirate scene.. so why would they want to fully bite the hand that is helping them to own the handheld market.

Having said that yeah they had to go after R4 in a symbolic sense. as we know that the R4 is already on its way out but i digress....the lawsuit to me seems to be more of a PR move to appease the smaller game developers. If you read CAPCOM'S statement, many of the larger companies dont give a damn, it gives them free exposure

this kinda feels like the napster situation from years back but the only difference is that the N knows that flashcards will continue to help them own Sony in the handheld market so dont worry about it. Its more some and mirrors PR spin then anything.