From gamespot.com:
"Nintendo, on the other hand, took a completely different approach, and didn't want to stay in the game only to take a financial loss from day one. Instead of focusing on high-definition graphics and some of the extras that make technophiles drool, the company opted to try to expand its reach through simplicity--that is, innovate and capture the attention of the mass-market crowd rather than the hardcore gamer who is willing to spend money on a console, HD setup, and other accessories.
The result of that choice, says Nintendo of America president Reggie Fils-Aime, is instant profit.
"We will make a profit on the entire Wii proposition out of the box--hardware and software," Fils-Aime told Reuters. "That really is a very different philosophy versus our competitors. We are a company that competes only in the interactive entertainment space, so we have to make a profit on everything we do."
Nintendo expects to sell 6 million Wiis through March of next year, but analysts expect even better numbers. Michael Pachter of Wedbush Morgan Securities told GameSpot, "I keep hearing that they will crush the 6 million unit number (by something like 2 to 3 million). That would be good for everyone."
I don't know about you guys but I don't think bragging about how Wii is not that great of a bargain is the smartest move. He is basically saying "The competition has more bang for your buck but we feel need to gouge the early adopters (mostly Nintendo fans) probaly more so than any NIntendo console before".