Nintendo shares continue to fall on Wii U

Nintendo shares tumbled for the second consecutive day Thursday after its second-generation Wii videogame console unveiled earlier this week disappointed the market, say analysts.

Despite the buzz surrounding the Japanese entertainment giant's Wii U at the videogame industry's annual trade show in Los Angeles, the console and its touch screen controller has left investors cold.

Nintendo shares dived more than 5 percent on Wednesday after the company unveiled the console at the Electronic Entertainment Expo, or E3.

The stock extended losses Thursday, closing 4.5 percent lower at 16,160 yen on the Osaka Securities Exchange.

The company's shares are now at their lowest since March 2006 before the launch of the original Wii console amid worries over its strategy at a time when online games and smartphones are taking market share.

Nintendo has not said how much it plans to charge for the Wii U when the new consoles hit the market next year to do battle with Microsoft's Xbox 360 and Sony's PlayStation 3 (PS3).

"I don't really see Nintendo's strategy yet," Hiroyuki Fukunaga, a Tokyo-based market analyst and chief executive of Investrust Inc, told Dow Jones Newswires.

"There are concerns that (the Wii U) may turn out to be expensive with the touch-screen controller," he added.

A key feature to the Wii U controller is a 6.2-inch (16-centimetre) screen that displays maps or other information to complement game play, acts as a touchscreen game board and serves as a second monitor.

A forward-facing camera allows for online video chat with friends while playing with or against them online using a television connected to a Wii U, which will boast high definition graphics.

Nintendo is credited with opening the world of videogames to "casual" family players and with the introduction of motion-sensing controllers on the first Wii console launched in late 2006.

But analysts question whether the Wii U or the handheld 3DS can once gain capture that unique fan base now that such non-traditional gamers can use their smartphones to play inexpensively online.

Microsoft and Sony last year challenged Nintendo by adding motion or gesture-based controls to Xbox 360 and PS3 consoles, which boast more power than the Wii for richer imagery and more complex action.

- Dow Jones Newswires contributed to this story -

burs-dwa/dan

PROMOTED VIDEO
Life and Style
ebookNow available in paperback
ebooks
ebookPart of The Independent’s new eBook series The Great Composers
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

ES Rentals

    iJobs Job Widget
    iJobs Gadgets & Tech

    Recruitment Genius: Web Design Apprentice

    £6240 per annum: Recruitment Genius: This company is a well established websit...

    Recruitment Genius: Senior .Net Application Developer

    £40000 - £60000 per annum: Recruitment Genius: This is a fantastic opportunity...

    Recruitment Genius: .Net / SQL Developer

    £25000 - £35000 per annum: Recruitment Genius: A skilled .NET developer with e...

    Recruitment Genius: IT Technical Support Engineer - PC/Mac

    £25000 - £30000 per annum: Recruitment Genius: This IT support company are cur...

    Day In a Page

    Isis hostage crisis: The prisoner swap has only one purpose for the militants - recognition its Islamic State exists and that foreign nations acknowledge its power

    Isis hostage crisis

    The prisoner swap has only one purpose for the militants - recognition its Islamic State exists and that foreign nations acknowledge its power, says Robert Fisk
    Missing salvage expert who found $50m of sunken treasure before disappearing, tracked down at last

    The runaway buccaneers and the ship full of gold

    Salvage expert Tommy Thompson found sunken treasure worth millions. Then he vanished... until now
    Homeless Veterans appeal: ‘If you’re hard on the world you are hard on yourself’

    Homeless Veterans appeal: ‘If you’re hard on the world you are hard on yourself’

    Maverick artist Grayson Perry backs our campaign
    Assisted Dying Bill: I want to be able to decide about my own death - I want to have control of my life

    Assisted Dying Bill: 'I want control of my life'

    This week the Assisted Dying Bill is debated in the Lords. Virginia Ironside, who has already made plans for her own self-deliverance, argues that it's time we allowed people a humane, compassionate death
    Move over, kale - cabbage is the new rising star

    Cabbage is king again

    Sophie Morris banishes thoughts of soggy school dinners and turns over a new leaf
    11 best winter skin treats

    Give your moisturiser a helping hand: 11 best winter skin treats

    Get an extra boost of nourishment from one of these hard-working products
    Paul Scholes column: The more Jose Mourinho attempts to influence match officials, the more they are likely to ignore him

    Paul Scholes column

    The more Jose Mourinho attempts to influence match officials, the more they are likely to ignore him
    Frank Warren column: No cigar, but pots of money: here come the Cubans

    Frank Warren's Ringside

    No cigar, but pots of money: here come the Cubans
    Isis hostage crisis: Militant group stands strong as its numerous enemies fail to find a common plan to defeat it

    Isis stands strong as its numerous enemies fail to find a common plan to defeat it

    The jihadis are being squeezed militarily and economically, but there is no sign of an implosion, says Patrick Cockburn
    Virtual reality thrusts viewers into the frontline of global events - and puts film-goers at the heart of the action

    Virtual reality: Seeing is believing

    Virtual reality thrusts viewers into the frontline of global events - and puts film-goers at the heart of the action
    Homeless Veterans appeal: MP says Coalition ‘not doing enough’

    Homeless Veterans appeal

    MP says Coalition ‘not doing enough’ to help
    Larry David, Steve Coogan and other comedians share stories of depression in new documentary

    Comedians share stories of depression

    The director of the new documentary, Kevin Pollak, tells Jessica Barrett how he got them to talk
    Has The Archers lost the plot with it's spicy storylines?

    Has The Archers lost the plot?

    A growing number of listeners are voicing their discontent over the rural soap's spicy storylines; so loudly that even the BBC's director-general seems worried, says Simon Kelner
    English Heritage adds 14 post-war office buildings to its protected lists

    14 office buildings added to protected lists

    Christopher Beanland explores the underrated appeal of these palaces of pen-pushing
    Human skull discovery in Israel proves humans lived side-by-side with Neanderthals

    Human skull discovery in Israel proves humans lived side-by-side with Neanderthals

    Scientists unearthed the cranial fragments from Manot Cave in West Galilee