Nintendo has cut back the numbers of Wii units being produced, which has led companies providing parts for the consoles to predict steep declines in their profits this financial year.
According to a Nikkei report, the profits of Japanese companies Mitsumi Electric and Hosiden Corp are both expected to take a hit in the current financial year following the move by Nintendo.
Mitsumi predicted its net profit will fall 52 per cent and said it had seen orders from Nintendo drop roughly 30 per cent in the April-September period.
Hosiden is expected to suffer a sales drop of between 30-50 per cent for the second half of the financial year.
The Wii lost its place as the best selling console in the US in September for the first time in three years. Its subsequent price drop boosted it back to first place in October, however Nintendo's revised Wii hardware forecast has dropped six million units to 20 million for this financial year.