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Thursday, August 29, 2013

Daily Report: Nintendo Introduces Cheaper Entry-Level Device

SAN FRANCISCO â€" Nintendo’s portable video game device, the 3DS, is selling well. But a plan to court children has the Japanese company cutting prices, Brian X. Chen reports.

Nintendo on Wednesday introduced a new portable gaming system, the Nintendo 2DS. The device will cost $130, or $40 less than its 3DS sibling, when it is released Oct. 12. It is capable of running all the games made for the 3DS, but without 3-D effects.

For Nintendo, the price drop is a hedge against a future filled with tablet computers made by companies like Apple, Samsung and Amazon.

“Forty bucks may not be a lot, but for families it’s a lot,” said Reggie Fils-Aime, president of Nintendo of America, in an interview. Mr. Fils-Aime said the 2DS was intended for the “entry gamer,” especially in families with multiple children. Nintendo is pairing the device’s release with the introduction of two new Pokémon games, a series that is popular among children.

The growing popularity of tablets among adults means that children are increasingly exposed to tablets at an early age. About one-third of American adults own tablets. But that figure rises to about 50 percent among parents with children living at home, according to Pew Internet Research. In another survey, IDC, the research firm, polled gamers who were considering buying a tablet or dedicated gaming device. Roughly 60 percent of respondents said they were leaning toward buying an iPad, iPod Touch or Android tablet, IDC said.

Younger gamers are drawn to tablets as well. A large number of the respondents to the IDC survey who said they were planning to buy a tablet or iPod Touch were under 24 years old, a demographic group that has historically been strong for Nintendo, said Lewis Ward, an IDC analyst that focuses on the game industry.