A slowdown in Wii production can only mean one thing: Nintendo has cured the injured, ailing and aged -- there's no more work left to be done. While saving the world proved vastly lucrative for Nintendo, it also benefited the manufactures behind the scenes; or, as we like to call them, the magic makers. Nikkei reports that Wii parts suppliers, Mitsumi Electric Co. and Hosiden Corp., have significantly reduced their yearly profits forecasts following a decrease in orders to assemble Wii consoles.
Mitsumi predicts its net profits will fall 52 percent year-over-year to ¥5.3 billion ($61.2 million), down from the previously projected ¥7 billion. Hosiden expects a similar drop, from the forecast ¥7.5 billion down to ¥6 billion. These percentage changes are eerily similar to the figure reported in Nintendo's half-year results, posted at the end of October. Are the numbers trying to tell us something? Yep, there's still plenty of money being made and, apparently, more world to save.
Source – "As Wii Stumbles, Parts Suppliers' Earnings Tumble" [Nikkei.com; subscription required]