Nintendo’s DSi is selling very well: 600k units during the first week-end (2-days) in the U.S and Europe. Nintendo is so pleased with the demand that they rejected the idea ofdoing price cuts for the Wii or the DS Lite in the near future. In the current economic context, this is quite interesting.
We think that Nintendo will also push backthe plans they hadfor new hardware platforms as long as they enjoythis formidable success in both home and mobile consoles. In the meantime, the company will continue to cost-reduce its offering and improve its margins – not a bad tactic at all.