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DS

High LCD Prices to Hurt DS Profit Margin

by Michael Cole - May 18, 2004, 2:38 pm EDT
Total comments: 20 Source: Reuters

Two screens means it’s twice as difficult to make a Nintendo DS unit.

High prices on Liquid Crystal Display are nothing new for Nintendo. As handheld products incorporating digital displays increase, so does demand for the flat screens. Nintendo has had trouble acquiring enough screens and a reasonable price for Game Boys in the past, and getting enough for its two-screen handheld will be even harder.

During E3, Satoru Iwata (President of Nintendo NCL) informed Reuters that Nintendo is concerned about not having a steady source of LCD displays. Its largest provider of handheld screens, Sharp, expressed concern over the “challenge” of a dual-screen handheld.

"Of course we have no intention of taking a huge loss in the beginning, but I'm not sure if we can efficiently boost profit from the start like we did with the Game Boy Advance, but this is something I think we can repair with time," Iwata said.

Mr. Iwata reiterated Nintendo’s promise of an “affordable” Nintendo DS launch price and stated that Nintendo will discuss shipment targets on May 27th.

Talkback

Ian SaneMay 18, 2004

I have a feeling that this will hurt my idea for the N5 controller to have a screen built right in. face-icon-small-smile.gif

If Nintendo is going to have to sell these things at a loss because of the two screens I hope they actually make good use of the second screen. Most of the E3 demos just used the second screen for a radar and that's not exactly a feature worth losing money on.

nickmitchMay 18, 2004

Man! I wanted a $150 DS.
Oh well $200 is still better than PSP prices.

gwgtrunksMay 18, 2004

Quote

Originally posted by: TVman
Man! I wanted a $150 DS.
Oh well $200 is still better than PSP prices.


It didn't give a price point, but I'm willing to bet on $100-$150. I just can't see Nintendo launching a handheld for $200...

lukejohnsonMay 18, 2004

I don't think this will mean a higher price for the DS. I'm glad they're taking the "risk".

joeamisMay 18, 2004

Noone said it's cheaper than the PSP..... Neither company has released any pricepoints! Oh and Nintendo has released a portable at $200 before... cough Virtual cough boy cough

oh not that this means anything but the VBoy also used two screens.

Termin8AnakinMay 18, 2004

I'm actually wondering why Nintendo didn't up the size of the screens for the DS.

You know, a redesign of the system should be in order too, to at least compete with the PSP.

Gibdo MasterMay 18, 2004

Well, from my understanding the E3 design wasn't final.

BigJimMay 18, 2004

Alas, here is their excuse to launch in Japan this year, but delay the DS un the U.S. until the Spring.

They *ALWAYS* claim to target simultaneous launches, but it never happens.

mouse_clickerMay 18, 2004

Now that doesn't make sense- why would Nintendo say the DS would be launched in Japan and North America this year at their own press conference, then within that same 3 day period suddenly push the launch date back nearly 6 months?

KDR_11kMay 18, 2004

Sharp expressed concerns over a "challenge"? WTF? Hey buddy, you're supposed to manufacture them at that size, not make a big screen and hammer it on a table until it breaks into pieces of the right size. Or do they go into some kind of magical world where monsters drop LCD screens after you kill them?

oohhboyHong Hang Ho, Staff AlumnusMay 19, 2004

I believe the challege part would be the shear volume Nintendo is ordering on top of thier GBA orders. Thier factories can only make so many and it appears that Nintendo might have pushed it beyond current capcity.

Although if hunting monsters did drop LCD screens, I would be suiting up myself.

Jdub03May 19, 2004

Ill be preordering mine as early as possible. Im not going to miss out on the DS. After looking at those videos im very excited. I can hardly contain myself.

KirbySStarMay 21, 2004

Quote

Originally posted by: joeamis
Oh and Nintendo has released a portable at $200 before... cough Virtual cough boy cough

oh not that this means anything but the VBoy also used two screens.

Wrong. The VirtualBoy was marketed at $175, and at the time it would have been too expensive to use anything but red and black for colors in the display.

joeamisMay 21, 2004

We're both off, me more so. The Virtual Boy released at a price of $179.99. I forgot that because my friend bought it the day it came out and he was charged $199.99, I guess that's what happens when you buy games from Electronics Boutique (back in the 1990s when their prices for everything were extreme, I remember their SNES game prices were $10-30 more than everyone elses depending on the title). Hell I bought Killer Instinct for GB for $45 from them lol.

KirbySStarMay 21, 2004

Yup, you are right. It was $179.99. That thing would have done a lot better if it was marketed for $150 and had both displays in color, but it was not to be due to fear of large financial loss. Oh, it would have helped if the press actually gave the machine a chance too. *sigh*

Heh, I remember getting ripped off at Walmart for SNES games back in the day. They'd still sell SNES games that had been out for 3 years for full price. Not cool. Toys R Us would do the same thing too.

BloodworthDaniel Bloodworth, Staff AlumnusMay 21, 2004

It would have helped if there were games for the Virtual Boy actually. There really wasn't any support for the system, and the games they did have still looked like Game Boy with a couple cool 3D effects. There were a lot of things working against the Virtual Boy, and without a true killer app, it was pretty much destined to fail.

KirbySStarMay 22, 2004

Actually there were a lot of cool games that were about to come out when they decided to kill all support for the system. Wario Land was a killer app in my opinion but Virtual Boy definitely needed a real Zelda, Mario, or Metroid game to help it. I'll agree on that. I think Virtual Boy was ahead of its time and probably needed some revising in what it lacked before it should have been released to the public. If it were released now it would have color. It would have had a better design. I really hope Nintendo tries to implement the Virtual Boy's 3D aspect in the future again and isn't scarred by the experience. 3D is a beautiful thing to behold. You do live in it, so why shouldn't your games?

ib2kool4u912May 22, 2004

Well, i believe a flaw in the Virtual Boy was that it left out the one-eyed humanoid alien audience, like Leela from Futurama. That is the real reason for its failure.

joeamisMay 22, 2004

I just read that Virtual Boy sold 16 million in the U.S. and 40 million worldwide. That's F'd up! Anyways I personally loved the Virtual Boy, Mario Tennis, Red Alarm, Wario World were all killer apps for me personally. If they had Metroid Prime in 3d it would've been sick even in just red graphics!

KDR_11kMay 22, 2004

Quote

Originally posted by: ib2kool4u912
Well, i believe a flaw in the Virtual Boy was that it left out the one-eyed humanoid alien audience, like Leela from Futurama. That is the real reason for its failure.


... or people like me who have no depth perception even with two eyes...

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