The plan: The Wii U normally costs $300/£249, which some would say is a fair price for a console and tablet combo, particularly with the different game bundles Nintendo offers with the system. But when compared to the PS4’s $400/ £349, the Wii U is a slightly harder sell. Chop off, say, $50 and the Wii U’s value becomes more obvious, no doubt spurring on sales. If the Wii U can’t be the most cutting edge hardware, then it should widen the price gap to better distinguish itself.
Will this happen? This isn’t very likely in the short term, unless hardware production becomes remarkably cheaper soon. Slashing the MSRP would likely increase sales, but Nintendo would also make less on each system sold. Wii U sales may be a problem, but negative cash flow is a bigger one. Getting less revenue from the Wii U (perhaps even losing money on each console sold) isn’t all that helpful--then again, I would’ve said the same thing before the 3DS’s huge 2012 price drop.