Wedbush Morgan analyst Michael Pachter has predicted that Nintendo could introduce a new version of the Nintendo DS by the end of the year, in order to combat declining sales in Japan.
Nintendo itself noted the decline in its new quarterly results
yesterday, with the console still selling extremely strongly in the West but being consistently outsold by the PSP, and sometimes Wii, in Japan. However, the company has given no indication of plans for a new variant of the console – either in the manner of the Nintendo DS Lite or a wholly new successor.
In his latest investor note on the company following the quarterly results, Pachter commented that, "DS sales are solid worldwide, but are weak in Japan, leading us to expect an introduction of a new device in Japan before the end of the calendar year."
Although uncommitted on the question of whether the model might be a largely aesthetic change or an all-new console, Pachter added: "We think that Nintendo has a new handheld device ready for launch [in Japan] before the end of the calendar year."
Sales of the Nintendo DS in Japan have been in a steady decline since the end of last year, with less first party software releases than previously and a resurgent PSP boosted by the success of Capcom’s Monster Hunter
games. In light of this, some analysts predicted that Nintendo would reveal a new version of the console at E3 earlier in the month.