According to the latest reports from "Forget the Box," the Nintendo Wii U plans to hit retail stores with a $300 price tag. The rumor could be an indication of how the Xbox 720 and Playstation 4 fares in console pricing and performance.

Nintendo recently responded to speculations that Wii U's graphics capability is merely on par with existing Xbox 360 and PlayStation 3 consoles and that it cannot compete with the next gen console competitors.

A Nintendo representative commented that technical hardware was not as important as the gameplay experience that the Wii U will offer. The console will be offering a revolutionary controller what boasts a touchsecreen and NFC technology. According to Forget the Box, the controller plus console production will run Nintendo's bill to $180 per unit.

"NFC capabilities are a drop in the bucket for Nintendo. As NFC becomes more mainstream in mobile devices, the price for NFC implementation will rapidly decline. Nintendo is jumping on NFC because of a projected cost decline in the technology," according to sources reported by Forget the Box.

"The cameras in the Wii U controller are an estimated manufacturing cost of $6. They are slightly better quality than the 3DS and DSi cameras. The touch screen has a manufacturing cost estimated at $14."

"Nintendo chose an economical GPU and CPU that could keep up with the performance of today's current consoles, but keep hardware costs down to maximize profits. Nintendo got a bargain price on the custom GPU and CPU that the Wii U uses. There is a bigger focus on downloadable content, applications, video content, digital distribution, and services to create a stream of revenue. Investors will be ecstatic with the news."

Wii U's pricing rumors may be putting Nintendo in top position for this year's E3, Electronic Entertainment Expo video game conference, announcement. Microsoft's Xbox 360 and Sony's PlayStation 3 are already rumored to begin making price cuts early this summer in response to the Wii U and preparation for their next-gen console releases.

In the past, Nintendo's Wii console was able to overpower their competitors through impressive and innovative gameplay over visual graphics capability. Microsoft and Sony sees things differently.

Rumors speculate that the Xbox 720 will feature 3D and touchscreen controllers to compete with the Wii U. Xbox can utilize the controller for both gaming, remote control, and web browsing.

According to Forbes, Mircosoft's next gen console will be six times more powerful than the Xbox 360 as it runs on two GPU from the AMD 7000 series. It is said that one will be used to solely run the OS while the other runs Kinect. It's expected that the Xbox 720 will cost over $500 at its initial release.

Sony's Playstation 4 looks to pack its own powerful console with an AMD x64 CPU and Southern Island GPU. That would enable the PS4 to run resolutions up to 4096x2160 and 3D games running on 1080 HD.

With that much hardware firepower, consumers can expect a heftier price tag attached to the Xbox 720 and PlayStation 4 in comparison to the Wii U. Though Nintendo may be at a lack the hardware it is poised to take the same strategy from its Wii release, by offering the Wii U at a lower price to compete with higher performing console competitors.

(Source: Forget the Box, Forbes, IBTimes)

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