In his NPD preview note, in which he predicts video game software sales growth of 35 percent for March, Lazard Capital Markets analyst Colin Sebastian commented that "retail channel checks continue to indicate tight supplies of the Wii; however, we believe Nintendo is likely increasing production above the last confirmed monthly rate (1.8M units)."

GameDaily BIZ followed up with Sebastian, who said he thinks that Nintendo will boost its Wii hardware production to over 2.0 million units per month in the near future as it ramps up for the launch of Wii Fit. He also stated that Wii Fit itself is likely to see shortages. "I suspect there could be supply issues for Wii Fit, with demand potentially outstripping supply," Sebastian told us. "It could also exacerbate the supply constraints of the Wii console itself."

Wedbush analyst Michael Pachter recently made similar comments, stating that Wii Fit's May 19 release will spark a new boom in demand for the already difficult to find console.

Sebastian also reiterated that the weak American dollar does seem to be a factor in Nintendo's strategy for Wii allocation since the company can make more money selling the consoles overseas.