Video game industry analyst Michael Pachter of Wedbush predicts Nintendo, Microsoft and Sony will cut prices on existing video game consoles at E3 next week as the industry prepares for the next generation of consoles.
According to CNet in a note to investors Pachter said he expects Sony and Microsoft to drop the price of the PlayStation 3 and Xbox 360 by “at least $50.” Pachter also believes Nintendo will cut the price of the last-generation Wii to $99 from the current $129.99 bundle it currently offers.
Pachter also predicts that Nintendo will cut prices of the Wii U by at least $50. Nintendo currently offers Basic and Deluxe editions of the Wii U for $299 and $349, respectively. If the company doesn’t offer a price cut on the consoles Pachter believes it will instead opt for bundling more games with the consoles.
The Deluxe edition of the Wii U currently comes with a free copy of Nintendo Land, though the Basic edition has no packed-in software. Nintendo doesn’t have many games to choose from for a bundle, however, as the console has a relatively small library of games at the moment.
Nintendo previously said it has no plans to cut the price of the Wii U console as it believes the price for the the console is fair. The company hasn’t commented on new possible bundles, however.
Price cuts for the Xbox 360 and PlayStation 3 make sense for Microsoft and Sony as both will shift their focus to their next generation consoles at E3 this year. For Microsoft a price cut will help it reach its goal of selling 100 million units of the Xbox 360 over its life. A price cut for the PlayStation 3 will help make Sony make good of its promise of a ten-year lifecycle for the console.
On June 10 Microsoft will share more about the games it has planned for the Xbox One and Sony will finally show the PlayStation 4 along with new games. On June 11 Nintendo will present a Nintendo Direct that will talk about the future of the Wii U.