Nintendo announced earlier this week that it intends to undercut the competition and sell its GameCube console for $199, $100 less than both the Sony PlayStation 2 and the Microsoft Xbox. This sets up a showdown between Nintendo and Microsoft, whose consoles ship just three days apart. Nintendo also announced that GameCube games would retail for $49--a far cry from the $69 Nintendo was asking for the cartridge-based third-party Nintendo 64 games at its launch. Many of our readers had plenty to say regarding the GameCube's pricing details--most of it good.
Many of our readers have recognized that Nintendo is doing things differently this time around. One such respondent, Justin, had this to say: "This time they actually waited until the other two consoles announced their prices so they won't make the same mistakes as before. I really admire the company for learning from its past problems." Scales 21 thinks that Nintendo is doing what it always does, and stated, "This is why I love Nintendo. They always make their consoles cheap and they have great games."
Some of the respondents didn't think that the GameCube's price tag is out of the ordinary and that Sony will be quick to react. Game Addict8 thinks that it's just par for Nintendo's course, writing, "Nintendo systems usually launch at $200. Expect Sony to match that price this fall." Oni Link disagrees wholeheartedly: "Sony is not going to match anything. Do you know how much it costs to make the DVD player itself? They might bring it down to $250 come November, but if they match the GC's price, then they will lose so much money." JW is impressed by the GameCube's price point but believes that both Sony and Microsoft will drop the prices of the PS2 and Xbox accordingly. "Whether the GameCube will kick other systems' butts or not, this is a very good introduction price. But there is no way that other companies like Sony and Microsoft will just sit back and watch Nintendo penetrate the market with this pricing strategy. I'm pretty sure that their marketing managers are all hurrying to get out of their spreadsheet and adjusting the pricing model at this moment," he stated.
Not everyone agrees that a low price is enough to move GameCubes. Howiiee believes that Nintendo should concentrate on making sure it has enough units to satisfy demand. "It does not matter how good the GameCube is. If there aren't enough units for sale, people may see the Xbox underneath the Xmas tree," he stated. Playa believes that the GameCube isn't all it's cracked up to be and that the price Nintendo announced for the console comes as no surprise. "Nintendo was expected to come out cheaper with their system because it is inferior technology. It has no hard drive, no DVD playback, and lacks the raw horsepower of the Xbox. I do admit it outperforms the PS2--but not the Xbox. For me, the Cube will be a nice, cheap addition to go along with my Xbox, but the Xbox will be my primary system. The PS2 is just out of luck," he explained.
While some may think that $100 isn't a big deal, Paul Gale broke it down into real-world terminology when he exclaimed, "That price is just right! Nintendo will release the GameCube three days before the Xbox in the United States and for $100 less. You can buy a GameCube and two games for the same price as one Xbox. You could also buy a GameCube and a Game Boy Advance for the same price as one Xbox."