How Nintendo prints money

Call the Wii whatever you want, but there’s no doubt that it’s the best-selling console out in the market right now. And just how much does it earn with each Wii sold? US$ 6. In comparison, Sony loses money with each PS3 sold, while Microsoft is just able to break even with the 360.

That’s not the only thing Nintendo’s got going for it though. More after the link.

Call the Wii whatever you want, but there’s no doubt that it’s the best-selling console out in the market right now.

And just how much does it earn with each Wii sold? US$ 6. In comparison, Sony loses money with each PS3 sold, while Microsoft is just able to break even with the 360.

That’s not the only thing Nintendo’s got going for it though. They also make a killer profit from games, since they don’t depend on third-party devs.

Essentially this means they profit more from their own games rather than licensing fees from third-parties. This is a huge deal, considering that the top three Wii games (Wii Play, Super Smash Brothers Brawl, Super Mario Galaxy) are exclusive first-party titles, and Nintendo first-party games account for 60% of all Wii games sold.

Sony, on the other hand, only sells 30% of PS3 games itself. Considering that the top three PS3 games are third-party games (Grand Theft Auto IV, Call of Duty 4: Modern Warfare, Assassin’s Creed), and all multi-platform to boot, this cuts a huge chunk out of the profit pie. Microsoft sells 30% of Xbox 360 games itself.

Via Forbes