Nintendo Co. fell to the lowest in more than five years after the unveiling of its high-definition video-game console prompted some analysts to question the company’s ability to repeat the success of its Wii model.“There were high expectations from the new version of the Wii and this fell far short,” Yusuke Tsunoda, an analyst at Tokai Tokyo Securities Co., said by phone today. “People had expected to see something more at a big event like the E3, but there wasn’t really anything more than what’s already reported.”
Nintendo tumbled 5.7 percent to 16,930 yen at the close of trading in Osaka. More than 2.2 million shares changed hands, compared with a six-month daily average of about 720,000.
Iwata signaled the WiiU will likely be priced at more than 20,000 yen ($250) in Japan when it goes on sale next year, the Nikkei newspaper reported today, citing an interview with the president. Nintendo is unlikely to sell the new console for the same price as the current Wii, the report cited Iwata as saying.
International Business Machines Corp.’s microprocessors will be used in the WiiU system, the Armonk, New York-based company said in a statement.Competition is increasing for Nintendo. Microsoft Corp. (MSFT)’s Kinect motion-sensing controller and Sony’s Move motion controller, both introduced in the past year, have spurred sales, according to industry tracker NPD Group.
