Said Nintendo president Satoru Iwata this week about continued losses:

“The result (of lowing profit expectations) will mainly derive from the decision to mark down the price of the Nintendo 3DS and sell it below cost, sacrificing our profitability for this fiscal year, so that we can get it back on track to its originally-anticipated sales pace so as not to shrink our future business (of the Nintendo 3DS).” (via Attack of the Fanboy)

Iwata then implied that Nintendo would once and for all embrace downloadable content to further boost sales. Finally!

Company lost more than three quarters of a billion last year and even announced more expected losses into this year. That’s to be expected from other console makers who lose money on new hardware in the first year, as they hope to recoup losses and turn a profit in the coming years. But for Nintendo, that’s rare. They usually turn a profit in the first year, with exception to their lackluster hardware, which 3DS still appears to be (at least on the cusp of it).

What do you think?

That’s what Gamaustrua analyst Matt Matthews suspects:

The second point (of last year’s annual console sales) brings out is just how sequel-driven the top end of the market has become. Every game, with exception of Just Dance 2 and Batman: Arkham City is a sequel several times over. I’m just now beginning to try to follow the mobile/tablet gaming market, and while many of the games I see there are derivative, the ones that appear to sell exceptionally well are still original in many ways. If there really is generational fatigue, as Piper Jaffray’s Connor suggests, and consumers are “spending more time on Facebook and the iOS app ecosystem,” then perhaps this heavy dependence on sequels is contributing to that trend.

It’s a valid point. Obviously Facebook and iOS are not only cheaper than console and handheld experiences, but they’re easier to jump in and out of, which a lot of gamers prefer. At the same time, I suspect I’ve played a lot more non-sequels on iOS in the last year than I did on consoles/handhelds. As a friend of the new, that’s a big hook for iOS gaming, however non-epic it still is.

The good news for Nintendo is they have a history of original games — more than any other, perhaps. Problem is, they also have a bad case of sequelitis at times (as they do right now), so it’s up to them to find the proper mix of new vs. retro games.

What do you think?

Case in point: Tiger Woods will not be coming to Wii this year.

This isn’t the first time EA has discontinued support for Nintendo. In fact, EA has largely had an unproductive relationship with Nintendo since the 16-bit wars, opting instead to work with Sega and the more favorable margin of the Genesis.

At the same time, maybe simulation sports fans are a better fit on other platforms. What do you think? Is the so-so relationship between EA and Nintendo an issue?

After one of its worst years since the early ’80s, Nintendo is finishing strong these last couple of months by releasing really good games that are rewarded with strong sales.

The company released the marvelous Zelda: Skyward Sword this month, followed by a strong Mario outing for 3DS. Up next: Mario Kart 7, which is also garnering very positive reviews early on.

What’s more, Nintendo president Reggie Fils-Aime is eating humble pie. ”We had to go back and reduce the price of 3DS and we certainly don’t want to go through that when we launch Wii U,” he told Reuters this week.