The fact that the company is losing money on the Wii U hardware contributed to the $387 million dollar operating loss for the past financial year. The Wii U continues to struggle, with third party software publishers not wanting to dedicate resources to producing software for the Wii U and rumors continuing of major retailers cancelling or reducing their Wii U orders. None of this is good news for Nintendo or the Wii U in general.
Right now, it would seem that Nintendo isn’t in a position where they could drop the price of the Wii U hardware; but as the company has shown in the past, they can change course and drop the price if they have to. However, we would not count on seeing that happen anytime soon.
A number of analysts that we have spoken with seem to believe that dropping the price could help the Wii U as it did for the 3DS when it was struggling. Still, the Wii U needs more software support, and without it everyone seems to believe that the console will continue to struggle. When you can’t play many of the latest games on the Wii U, you have to know that your console is struggling.