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DigiTimes: Foxconn trialing production of NX, ~10m units expected annually

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BY2K

Membero Americo
The Wii took 2 years to sale 10 millions in the States and 7.5 million in Japan in the same two years. So 10 Million NX per year worldwide is pretty high numbers, if you ask me.
 

Pinky

Banned
Didn't mean to drive-by, I posted and then went to work.

There's multiple people involved in something I have heard recently so I don't want to talk about it until they feel like talking about it. But 10 million annually is real low and jives with some stuff I have heard about manufacturing recently (i.e. Not really great news).

Like I said, interesting. If it's true, March would be surprising.

"Oof...I hate hearing potentially bad news right before the weekend. I really need to get some sleep, lol."

I'm not one to jump to conclusions or get flustered over rumors, but if Nintendo delays this thing, I'm gonna blow a fucking gasket.
 

J@hranimo

Banned
Eh, even given Digitimes' lack of credibility this isn't far-fetched given the March release. They'll probably ramp up into full production later this year anyway.
 

Trevelyan

Banned
Announcing the NX exists?

Yes. Lets say they announced it in early/mid Sept like everyone was clamoring for and a release window. They go into production and hit some roadbumps, and have to delay. They then have to put out another PR a month later saying the NX is delayed. That would not give stockholders much confidence at all in the product.
 

RootCause

Member
Sounds like it's going to be the next Wii and you better get ready for the midnight launch lol.

I love the midnight launch for the Wii. There was like 100 people waiting in line for it. Maybe Nintendo would want the same for NX.
Yep, that scares me a little. I'll try my hand at preorder, if I can't the first time, then I'll probably wait a while. I really do t want to go through the hassle that was getting a Wii. :(
 
I'm on team NX Fall 2017 so thats what I'm feeling. That investor meeting where they projected a March release was just to keep up investor morale so the cash flow could continue to come in while they continued to R&D NX imo

I really have never understood this reasoning.

What does stock price have to do with cash flow? Why does March make investors happy? Since it's still in FY2016? Why is that somehow better than in FY2017?

If they thought they were going to have to change the launch date they would need to revise their earnings forecast, and investors don't like that. So I really don't get what kind of benefit they would have by putting out a placeholder date at the end of FY2016 that they assumed would change. Maybe someone could explain it better for me?
 
The Wii took 2 years to sale 10 millions in the States and 7.5 million in Japan in the same two years. So 10 Million NX per year worldwide is pretty high numbers, if you ask me.
It's not so high though that if they don't reach it, it won't be a disaster

Like how many Wiius did Nintendo expect to sell in its first year? Like 18-20 million? Lol
 

Mpl90

Two copies sold? That's not a bomb guys, stop trolling!!!
That's more or less the yearly average for 3ds. Sounds like a healthy assumption. With Wii U they overestimated and that created them some big troubles. In short, better to have shortages than to have a big unsold stockpile and returns. I assume it depends a lot also on what the retailers estimate to order. You can't produce if there is no demand.

Also, I suppose things can change if, you know, the console sells so well that quicker production is required.

Also, about Emily Rogers: a few hours later that tweet you already mentioned, she tweeted how the DigiTimes article "corroborated" what she said in her tiny blog post update.

Emily Rogers
‏@ArcadeGirl64
I reported this earlier this week, but i'm very happy to see another site corroborating this. http://www.digitimes.com/news/a20160922PD207.html …

Emily Rogers ‏@ArcadeGirl64 7 h7 ore fa
@ArcadeGirl64 For those who missed it earlier this week, this is what I reported on September 20th.

http://www.neogaf.com/forum/showpost.php?p=217495484&postcount=253
 

Mr Swine

Banned
I'm on team NX Fall 2017 so thats what I'm feeling. That investor meeting where they projected a March release was just to keep up investor morale so the cash flow could continue to come in while they continued to R&D NX imo

So you expect Nintendo to have almost nothing for Wii U and a very few games for the rest of 2017 up till NX release? This is what Nintendo did with DS and Wii and that cost them a lot
 
Also a march release will give them enough time for a second round of production so there isn't a shortage of they feel they need to shortly after launch
 

jonno394

Member
Also, I suppose things can change if, you know, the console sells so well that quicker production is required.

Also, about Emily Rogers: a few hours later that tweet you already mentioned, she tweeted how the DigiTimes article "corroborated" what she said in her tiny blog post update.

So these are after the "bad news" tweets?
 

SirShandy

Member
Of what use are projected sell numbers at this point though?

Nintendo has not even shown off the thing yet - has not had any way of gauging public interest - so how could any projected sell numbers be meaningful at this point? What parameters do they use to predict how popular it might be?

Theoretically, if they had the numbers to crunch and predict how much a certain new product is going to sell, couldn't they use the same information to, instead, create the next hypothetical "big thing"? Or does it have more to do with the manufacturing side of things than the market side?

In other words, why would a company ever suggest a conservative estimate for their product prior to putting it on the market, if it risks appearing like a lack of confidence in that product?
 
Who are these people saying 10 mil units a year is shit?

Playstation 4 is selling around 15-20 mil units a year and is considered the fastest selling playstation ever. More than the PS2.

The Playstation 2 sold approximately 155 million units over 13 years. That's about 12 million units a year.

Sure sales are craggy. But as someone has said before, the fact that Wii U didn't sell through most of it's initial shipment, it made manufacturing a smaller, more efficient machine, a new edition, or offering a price drop were impossible.

Nintendo is doing the right thing, especially with a hybrid handheld device. There will be new editions of this hardware sold just like the DS family of systems.
 
Yes. Lets say they announced it in early/mid Sept like everyone was clamoring for and a release window. They go into production and hit some roadbumps, and have to delay. They then have to put out another PR a month later saying the NX is delayed. That would not give stockholders much confidence at all in the product.

I don't think 10 million for the first year is really showing any problems. I think some of these guys said the Wii U was forecasted around 10 million for its first year and then adjusted after that depending on how good or bad it did.

I think we'll get the reveal by mid October the latest and then Nintendo can talk all about the NX to its investors. Also, if they have other NX systems/forms and not sure if that would be calculated into this 10 million, yet.

For the millionth time, they did it so people wouldn't think they were abandoning dedicated hardware after the dena partnership announcement.
Bruh, why are you quoting me? Lol

I know why they announced the existence of the NX. It's exactly what you said for.

Yep, that scares me a little. I'll try my hand at preorder, if I can't the first time, then I'll probably wait a while. I really do t want to go through the hassle that was getting a Wii. :(
Yeah, just be ready to preorder on whichever website you use lol.

I'll probably be waiting in line at midnight. I enjoying doing it when I have others to do it with.
 
This isn't a big number, is it?

If the thing is a success, there will be shortages.
DS, 3DS, Wii all shipped well over 10 million their first year on the market. Wii U, not so much.

As some may remember, there were more Wiis available than any near-launch home console ever. (and still got shit for "intentional shortages")
The Wii took 2 years to sale 10 millions in the States
Did it? I don't have NPD at hand, but considering all of North America they'd shipped 10 million by day 500. By the end of its second full year NA shipments were somewhere over 15 million, and this was still its sell-everything-it-ships phase.
 
I really have never understood this reasoning.

What does stock price have to do with cash flow? Why does March make investors happy? Since it's still in FY2016? Why is that somehow better than in FY2017?

If they thought they were going to have to change the launch date they would need to revise their earnings forecast, and investors don't like that. So I really don't get what kind of benefit they would have by putting out a placeholder date at the end of FY2016 that they assumed would change. Maybe someone could explain it better for me?

Yes. At the 2016 investors meeting if they were to announce the system would not be launched until the 2017 FY, investor confidence would have tanked, it would have caused the stock prices and therefor net worth of the company to tank as well.

So you expect Nintendo to have almost nothing for Wii U and a very few games for the rest of 2017 up till NX release? This is what Nintendo did with DS and Wii and that cost them a lot
Seems like Nintendo does have enough content for 3DS to keep it going steady for the next 12 months. As for Wii U, it really can't get any more dead than it already has been for the last couple of years so Nintendo isn't really concerned about maintaining momentum from the previous generation at this point since the Wii U never had any momentum to begin with. They're going to take all the time they need to get NX exactly how they want it before launch
 

jonno394

Member
Yeah, she started tweeting on the article 8 hours ago, while the "bad news" one is from 12 hours ago.

Ah cool, thanks for clarification.

I've decided I'm reading albertos posts as the manufacturing process is complex or purposefully done at a slower pace and they'll not have huge amounts by March, hence why he'd be surprised if it launches then because who wouldn't want loads of consoles at launch.

My view is that Nintendo don't want a repeat of wii u situation where there were far too many, stores were returning unsold stock etc
 
Ah cool, thanks for clarification.

I've decided I'm reading albertos posts as the manufacturing process is complex/purposefully done slower and they'll not have huge amounts by March, hence why he'd be surprised if it launches then because who wouldn't want loads of consoles at launch.

My view is that Nintendo don't want a repeat of wii u situation where there were far too many, stores were returning unsold stock etc

Well it may be the case that both the March folks and the Delay folks are right. The system will launch in March, but won't have enough systems for everyone until November.
 
Didn't mean to drive-by, I posted and then went to work.

There's multiple people involved in something I have heard recently so I don't want to talk about it until they feel like talking about it. But 10 million annually is real low and jives with some stuff I have heard about manufacturing recently (i.e. Not really great news).

Like I said, interesting. If it's true, March would be surprising.
I'm not entirely sure what this means. Does this mean they can only make 10M a year or that they only expect 10M a year? 3DS took its first year to reach 11M sales (IIRC) so it wouldn't be too far off for its first year sales and Wii U took several years to reach that mark.
Edit:
Isn't DigiTimes the one that said "NX will enter production in early 2017" (likely meaning a delay) and then they reported differently a few months ago?
 
As long as I get one at launch :D

I am sure that's why folks like us check the daily NX threads. At some point it's gonna say pre-orders available and at the moment I will want to be online with card in hand.

I hope Best Buy gives their Gamers Club members preference with pre-orders.

I stood in line in the winter for a Wii, only to not get one and have the dude in front of me offer his ticket for one at an inflated price. Fuck those days.
 

udivision

Member
So you expect Nintendo to have almost nothing for Wii U and a very few games for the rest of 2017 up till NX release? This is what Nintendo did with DS and Wii and that cost them a lot

If Nintendo found themselves in that situation, it would definitely be because of things beyond their control. I think we'd see a lot of Wii U -> 3DS ports, for what it's worth...
 
If Nintendo found themselves in that situation, it would definitely be because of things beyond their control. I think we'd see a lot of Wii U -> 3DS ports, for what it's worth...

Did you see the last Nintendo direct?

Poochy and Yoshi's Woolly World
Mario Maker for 3DS
...
That's in addition to games like:
Hyrule Warriors Legends
Smash Bros for 3DS
 
I just straight up asked Emily on twitter if she was referring to NX. Hopefully she can just provide a straight answer. Everyone is so tired of this game. At this point any "insider" should just be clear or else say nothing at all.

Obviously doesn't apply if she wasn't referring to NX, but she HAS to know that vague tweets like those are going to give her a ton of attention.
 

Papacheeks

Banned
I'm not entirely sure what this means. Does this mean they can only make 10M a year or that they only expect 10M a year? 3DS took its first year to reach 11M sales (IIRC) so it wouldn't be too far off for its first year sales and Wii U took several years to reach that mark.

Means possibly issues in manufacturing which was a rumor during E3, but now seems with the thread about foxconn production starting up for NX seems likely there were issues while back. And if that was on chip maker end or whoever it would make sense what ALbert is hearing for 10 Million being produced for the year which isn't good if it comes out in March.

And that would be because if production is now ramping up into full production as per the rumor tweets by Emily Rogers, then that means they have less than 6 months to make enough for launch. And if they only are gauging to be able to produce 10Million that's short for how demand could be leading up to fall of 2017. Means it might be a Wii issue where there were shortages(dont remember what cause those).

To put it into perspective, XBox and PS4 sold 3 Million in it's launch period. That's over a third of what the rumor is for so called 10 million for the year.
 
Yes. At the 2016 investors meeting if they were to announce the system would not be launched until the 2017 FY, investor confidence would have tanked, it would have caused the stock prices and therefor net worth of the company to tank as well.

Why would they be okay with taking the confidence/stock hit now (or soon) by announcing a delay but not okay with taking that hit when they announced the release month officially?

Also Nintendo's investors haven't seemed to put any interest in their dedicated hardware now that they are doing mobile games. Their stock price really only moves in response to mobile announcements now, and for the past year or so.

Also consider Nintendo hasn't officially delayed hardware that's been given an official release month since the N64, so this is not even close to a habit for them.
 
Means possibly issues in manufacturing which was a rumor during E3, but now seems with the thread about foxconn production starting up for NX seems likely there were issues while back. And if that was on chip maker end or whoever it would make sense what ALbert is hearing for 10 Million being produced for the year which isn't good if it comes out in March.

And that would be because if production is now ramping up into full production as per the rumor tweets by Emily Rogers, then that means they have less than 6 months to make enough for launch. And if they only are gauging to be able to produce 10Million that's short for how demand could be leading up to fall of 2017. Means it might be a Wii issue where there were shortages(dont remember what cause those).

To put it into perspective, XBox and PS4 sold 3 Million in it's launch period. That's over a third of what the rumor is for so called 10 million for the year.

10 million a year in 6 months would be 5 million at launch, correct? Or are we saying by the end of 2017 there would be 10 million?
 
Means possibly issues in manufacturing which was a rumor during E3, but now seems with the thread about foxconn production starting up for NX seems likely there were issues while back. And if that was on chip maker end or whoever it would make sense what ALbert is hearing for 10 Million being produced for the year which isn't good if it comes out in March.

And that would be because if production is now ramping up into full production as per the rumor tweets by Emily Rogers, then that means they have less than 6 months to make enough for launch. And if they only are gauging to be able to produce 10Million that's short for how demand could be leading up to fall of 2017. Means it might be a Wii issue where there were shortages(dont remember what cause those).

To put it into perspective, XBox and PS4 sold 3 Million in it's launch period. That's over a third of what the rumor is for so called 10 million for the year.
Would there be any reason for them to be stuck at a 10M per year max after year one? Would seem weird.
Planning 10M year one seems like a safe bet. 3DS did a bit more than that and if it takes off I imagine they can try something else or at least benefit from there not being an overwhelming supply.
Also, can't "annual production" mean the estimate of 2017?
 

NateDrake

Member
If Alberto knows something then he needs to tell me before I lose my mind!

i lost it a long time ago

Also notice how Nate Drake doesn't post at all in NX topics? I've seen him in another topic that was unrelated to NX. I think him not saying anything is speaking volumes.

Sup?
 
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