Hardware manufacturer plans to generate revenue by selling the device to gamers

Project Shield won’t sell for a loss, says NVIDIA

After unveiling its Tegra 4 powered handheld on stage at CES yesterday, the hardware firm has announced the device won’t be sold at a loss.

The firm took to its company blog in order to address discussion surrounding the device’s yet to be announced price point and how it plans to differ itself from traditional consoles.

Previously, most handheld games devices have entered the market selling for a loss, as firms initially attract gamers and move to secure steady income from them through future titles and games releases.

With this in mind, it’s difficult to imagine NVIDIA following this business model with Project Shield, given its business as a hardware manufacturer.

However, the firm used its blog to highlight how the likes of Nintendo and Sony do business, and how it would differ from this with its hardware.

"We’ll make our money by selling the device to gamers," the post reads.

"This time-honoured approach isn’t one we’re taking with Project Shield… our goal with it is to design and sell a truly great piece of hardware, one that fits comfortably in your hand, delights your eyes and blows out your ears."

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