Nintendo described the Wii U as its best-ever games console when it unveiled it this week, but it has failed to thrill the markets.
Shares in the Japanese consumer electronics firm have fallen by more than 10% in the two days since the lid was lifted on its next-generation console, above. A downgrade from UBS on Thursday helped to push the stock down to ¥16,160 (£123), its lowest level since February 2006 – months before the original Wii was launched to huge acclaim.
Gamers queued for hours at the E3 industry show in Los Angeles to experience the Wii U's high-definition graphics and tablet-shaped controller, complete with a 6.2in touch screen. At E3, Nintendo executives talked about repeating the magic of the Wii, with games that appealed to the whole family as well as hard-core enthusiasts. However many important details remain vague at best, including its price and launch date.
And games experts, including the Guardian's Steve Boxer, have predicted it could radically change computer games.
But UBS helped to pop Nintendo's bubble by slashing its target price from ¥31,000 to ¥18,000, and cutting its rating from buy to neutral. Analyst Yuki Nakayasu said the Wii U would not allow Nintendo to repeat its trick of attracting customers who previously had limited interest in videogames.
Nintendo has sold close to 90m Wii units. Consumers flocked to play computer tennis or keep fit by waving a motion-sensitive remote controller and the popularity of the original console meant UK shops would regularly run out of stock, with widespread shortages reported in the run-up to Christmas 2007.
