After months of disappointing sales, Nintendo's (OTC BB: NTDOY.PK) Wii is aiming to retain its spot as the top-selling console this holiday season. Nintendo announced today that it sold 550,000 consoles during the Thanksgiving week, beating out Sony's
As CNET reports: "Nintendo put out a press release boasting that it had sold 550,000 Wiis in the U.S. during Thanksgiving week, leading Wedbush Morgan analyst Michael Pachter to estimate that the company may have sold about 1.1 million of the consoles for all of November. Last November, Nintendo moved 2.04 million Wiis."
Over the last year the company has seen its stock slip nearly 17% as the Wii's growth sputtered. That's a figure that not only badly trails more-diversified competitors Microsoft and Sony, but also struggling video game software developers like Activision Blizzard
Ouch. Maybe not an undeserved beating though. While game developers saw their drops mainly from consumers tightening belts, Nintendo faced a double-whammy of economic woes and increased competition from Microsoft and Sony aggressively slashing prices on their consoles; a strategy that lessened the Wii's advantage as the cheapest gaming system.
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Eric Bleeker owns shares of no companies listed above. Activision Blizzard, Electronic Arts, and Nintendo are Motley Fool Stock Advisor picks. Microsoft is a Motley Fool Inside Value recommendation. Motley Fool Options recommended a diagonal call strategy on Microsoft. Try any of our Foolish newsletters today, free for 30 days. The Motley Fool has a disclosure policy.