Although there's still a lot of demand for the Switch, Nintendo is reportedly bracing itself for a decline in hardware sales.
According to Nikkei Asia, the Japanese video game giant expects to sell "only about 20 million Switch game consoles" in the current fiscal year, which would be a 10% decrease from fiscal year 2021. Nikkei goes on to state how it has learned that "a semiconductor shortage and disruptions to logistics networks" are contributing factors.
This figure would be a 30% decrease from fiscal year 2020, when Switch sales reached 28.83 million units in this same period. In fiscal year 2021, Switch sales were estimated at around 23 million units (a 20% decrease).
To combat this, Nintendo apparently intends to "sell more" Switch software in the current fiscal year. So far, the 2022 calendar includes games like Mario Strikers: Battle League, Fire Emblem Warriors: Three Hopes, Xenoblade Chronicles 3, Splatoon 3 and Pokémon Scarlet and Violet.
Have you purchased a new Switch in recent times? Buying a lot of games this year? Tell us down below.
Switch Pro confirmed (only joking)
I purchased an OLED Switch this year. Great console!
Nintendo intend to sell more software? Good luck with that, the only games I was going to purchase this year were AWRC and BOTW2!
NINTENDOOMED... to deal with myopic shareholders who don't actually peruse sales charts.
Or, you know, hard data of any kind.
@Jacoby after 4 years with the original, I sold mine and got an OLED, my own beef was how hard it was to transfer games and saves. I lost ALL of my Splatoon 2 data.
"Switch selects" range incoming
Seriously though, only way they will sell more software than planned is by bringing some releases forward, so I expect some big unannounced games to release this year
Only 1,5 wii U lifetime sales in the 6th year that the switch is on the market.
Oh no…. Nintendoomed and all.
@Bearzilla823 I transfered my splatoon 2 save when I got the OLED, just had to transfer my user and data.
Oh no! The Switch and Nintendo as a whole is totally doomed!
I'm amazed everyone who wants a Switch hasn't already gotten one.
5 years is a long time to save up $300.
Well, the software push is good for existing owners. I hope it means they double down on more DLC.
The semi conductor shortage sucks for everyone though.
More people are born and grow up every year you know. And some markets are newer or otherwise have lower gaming/Nintendo mindshare.
Pokemon and Splatoon are big too lol
@Bearzilla823 I hear you about transferring data, pain in the butt. That Splatoon data is a big loss, I’m sorry.
Yeah, even with BotW2's delay and Advance Wars up in the air, this year will still be very solid for the Switch in terms of software. Pokemon and Splatoon alone will be huge sellers.
Oh no now it won’t sell 500M units by the end of this year
Yet, I guarantee it will outsell the ps4 and gameboy/gameboy color THIS YEAR! Wanna BET!
A friend of mine bought an OLED, I was stunned as they struck me as PC Master race.
@Bearzilla823 You can transfer your Splatoon 2 data manually, but you need both consoles for that.
@NintendoEternity That's pretty obvious.
@andyg1412 don't worry I've figured it out haha. BotW2 absolutely will be releasing in this fiscal year btw, Nintendo will make sure of that.
@Ryu_Niiyama I read an article today saying the shortage was coming to an end and availability of Sony PS consoles would normalise, so this news is odd. Perhaps to increase production of newer chipsets they've decreased production of older ones used in the Switch, meaning Nintendo are now struggling?
@Otoemetry intel has said the shortage will go into 2024 and considering the vast number of industries impacted, I am sure it is easing as covid19 restrictions are lifted but that just means it normalizes to a higher level. And some companies stockpiled as much as they realistically could to get product on shelves. That is an artificial relief. So I suspect we have more bumpy road ahead.
So, even with the reduced projection, 20m is still a LOT of Switches to be selling in FY6. That would put Switch at around 127 million sold by March 2023, after 6 full years on the market.
If they can pull another 20m in FY7, that would take them to 147 million by March 2024 when Switch 2 is likely going to release. That's within a stone's throw of the record held by PS2/DS. At that point, they'll continue selling Switch for another year or two. Even if they do just 5m the first year Switch 2 is out, and 3m the next, it will have broken the record. So it all comes down to whether Switch can do another 20m in FY7. If it can, then it's a wrap. The record is broken. There's just no stopping it. But if they release the Switch 2 early, in March 2023, or if demand falls in FY7, it may fall a smidge short.
Regardless, the reality of breaking the all time record is becoming ever more real by the month. When Switch launched, people laughed at the idea it could even do 100 million. Nobody in their wildest dreams actually thought it could break 155 million.
Switch uses Nvidia while Sony/MS use AMD. Both Nvidia and AMD source from the same manufacturer, but it's complex. Hard to say how the domino effect will take place.
Oh boy more of those 35% off launch title "deals"!
@Xiovanni I'm amazed people don't notice the world around them and see a HUGE amount of people are struggling to pay rent on time now.
To help alleviate this shortage, we're going to release more fun, cool games on this console you can't buy.
Oh no 20M units sold in mid life and they will just sell more software instead? Doomed
Nintendo is going to call sakurai again, we need more smash characters asap!
I think Nintendo will release a new Nintendo Switch next year with upgraded CPU and GPU and thus extend the life of the Nintendo Switch for a few more years
I never thought the Switch could outsell the DS, as the latter was cheaper and ridiculously easy to pirate games for (which would have made it a very tantalising value proposition for misers and thieves), but blimey, I could be proven wrong yet.
While it would be nice to have a more powerful system, there is so little reason for Nintendo to issue a new console at this point as it’s perfectly capable of pulling off most of the sorts of gaming experiences that the majority care for. I’m also excited at the prospect of Nintendo holding out longer before releasing new hardware as it’s likely to be more powerful the longer we wait, which would also mean that such a successor may enjoy an even longer shelf life than the almost ageless Switch.
I just find it baffling that GTAV, which originally released on less powerful hardware, STILL isn’t available on Switch. Even a complete port of GTA IV + expansions would be somewhat revelatory as they are yet to see a handheld release.
ONLY 20 million hahahaha.
@UltimateOtaku91 thank you for the heads up. But it appears it can not be recovered. and the original system is gone.
20 million?!? That seems optimistic. They expect only a 10% decrease in their sixth Switch year? Incredible if so.
@TexanBanjo There are over 100 million people already to sell games to.
@UltimateOtaku91 The software curve should be larger and longer than the hardware curve. Every day there are more Switch owners, therefore there are more people to buy Mario Kart, Animal Crossing, Pokemon etc…
Saying ‘we will sell more software’ isn’t remotely surprising. I fully expected them to.
In the UK it is very rare not to be able to buy a switch one of the 2 models is always about to buy and the lite is as well.
Unfortunately this tells me apart from the games we know about for this year and the recent BOTW2 delay to next year, that is it game wise for 2022.
No new Mario platformer or DK game, no Metriod or any other big AAA games.
Ever consider you might not be their only software target audience.
Yes the figure they stated made me wonder too, 20 million would still be a fair total for a console in this stage of it's life.
I'd be interested to know how many of those 20m are sold to households that already have switch.
To be honest I do not expect a Switch 2 announcement till late 2024 or early 2025, so there would be still a great chance for the Switch to overtake the DS and PS2, even more so with a price drop at some point.
Which I’m sure they will with such a strong line up for the year. Makes me think there may be some unannounced games still to come in the fiscal year.
The problem for nintendo is not switch. Switch was ( is ) a great success!!! The problem will be nintendo's future console. All these high technologies parts and chips lack makes big problems in console production. The same problem has also sony and ms. They should have sold much more consoles but they can't because of great parts lack.
20M sales in a year is what PS4 sold at its peak.
For Nintendo, that is considered a decline.
@Silly_G It also ran like complete ***** and looked like ***** too. The PS3 and Xbox 360 versions were almost unplayable.
Who doesn't own a Switch today? I know people who don't play games really who have one. We have 5 of them in our house alone. It's also a great jumping in point as the Switch has the best exclusives and most diverse library of any console right now. If you don't care about state of the art visuals the Switch is golden.
I think they need to release more games if they want to sell software. I am not interested in animal crossing, pokemon, Kirby or Splatoon. If this is all they release, I won't be buying anything.
I don’t own a PS5 or XBX. But if the the titles started to dry up on the Switch I could be looking at buying one, just like I did with the PS4 when my Wii U didn’t have anything to play on.
With that logic, you’ve got to guess there are people who only own a PS5 or XBX that are twiddling their thumbs with a small amount to play (let’s be honest, this new gen hasn’t really started yet) thinking about getting a Switch to pick up the slack.
@Moistnado I totally agree with you. They must have something under wraps for Nov/Dec. Give us a new Fire Emblem or Mario or Pikmin. No need for two Splatoons and 17 Pokémon games on the same console.
Even so...Nintendo has managed to avoid cracking under the pressure of the chip shortage, whereas Sony and Microsoft STILL haven't solved their supply issues.
Lol, they always blame it on chip-shortage...what if people just got bored with Switch and are waiting for a more powerful device?
Great, so let’s start with Tomodachi Life and Style Savvy for the switch. No need to keep putting these off now. 😁
Cue investor reaction: "Oh god we're doomed! Sell sell sell!!! Get out while you can!"
I understand this is just how business works but it's funny to picture them actually reacting like that.
@johnvboy no, of course they didn't consider it. The world revolves around them.
@Xiovanni People always say things like this, about consoles and games alike. But 385,000 babies are born every day on Earth. There are always new gamers coming up, gamers who haven't played the games "everyone has played" and young'uns who are just getting to the right age for their own consoles.
Coincidentally, I bought my 14-year-old a Switch OLED two days ago. She's been using my launch day Switch, and it's been ailing for a while now. Her birthday is this week and it was time for her to upgrade.
Guess the shortage is now catching up with Nintendo.
This is fake news designed to drive up sales of the hardware. There is no shortage but Nintendo will say this so people will think that they might miss out if they don't get one now.
So they go online to order it, it's just an age old marketing tactic "come and get it while you can, limited stock" - while sitting on a pile of the product.
A company doing this so late into a products life indicates that said company are looking to clear out stock to prepare for something new.
Maybe you guys at Nintendolife could explain or do a separate article explaining why there is a semi-conductor shortage, who it affects, who/where produces & distributes them, what raw materials go into the process and what the outlook (supply, demand) looks like going forward and its effects on the gaming industry and alternatives as a whole… in addition to consumers & pricing.
Just a thought and suggestion for your readers!
… Wun can only hope.
@Bearzilla823 Yeah! It was actually WORK transferring over games and save data. I think it took me almost a week and half to get my OLED set up. (I do have A LOT of digital games though.) You had to be particularly careful with Animal Crossing. (You need to KEEP you old system do this properly.) I was surprised Trials Rising doesn't let you transfer save data (only gear you unlocked transfers.) Luckily I was barely into it, but that is a game that people could have 60-100 hrs of gameplay on. Also, I didn't pick up Splatoon 2 until I got the OLED. Oh and don't forget the times that you had the game transfered, the save transfered, and then went to play the game portable somewhere and couldn't! Because some games required an online verification before you could start playing. Yeah, it took awile to setup.
Even after all these years that profile pic is still awesome, I hope you NEVER change it on Nintendo Life.
Supply chain issues will plague the industry this entire generation.
Nevertheless, they're doing a pretty good job of pumping these out at the moment. I see SWOLEDs and V2s everywhere I go now. I've almost pulled the trigger on a white joycon OLED model a few times, but I have the sneaking suspicion that new hardware of some sort will launch alongside BotW2. Especially now that it's releasing in 2023.
Sony is the only one of the big three that seems to be completely unable to adapt to the new pandemic era norm and find a way to get their hardware on store shelves.
@Pete41608 thanks. I try to keep it consistent. Lol
Well Nintendo you know how to sell more games right? Yep make the cheaper! Lol
Well, I guess that's it for Nintendo. Can't wait to buy Mario Odyssey 2 on the PS5.
I love my switch, but most of the games are remastered and heavily overpriced compared to other console platforms.
@AndyC_MK111 none of those float my boat thanks
@Gamer_Zeus Considering 2023 the Updated Switch is coming out you do have to wonder as well. But hey a OLED is still good so I am game for it if I can get one.
@AndyC_MK111 I only care about my gaming preferences. We will see if they decide to release something for those of us who aren't interested in what's coming this year now AW and Zelda have been cancelled/delayed. Nintendo like making money, I'm happy to keep my money and attack the backlog I have.
@SwitchForce 2023 is it?, let me guess, your uncle works at Nintendo?
Yeah that's why, could it not be that this ancient piece of retro gaming is nearing (past?) It's sell by date...?
I’ve seen plenty of OG Switch and OLED’s, in Targets. But no Lites. Which is the one I usually see, over the others.
Chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip shortages after chip storages... A LOT have happened recently.
It'll all be fine.
The switch is cool but as as rpg fan I'm not blown away. Ya, you have XC1 AND 2 and soon to be 3, cool. Tales of vesperia came, Great, but no other tales. Ni no kuni 1 and 2 are both super cute. Eventually I will get breath of the wild and Octopath but other wise, other than re-releases and ports like ffx and ffx2 and 12 it is kind-of dry for rpgs this late into its life.
I have both my OG model B Nintendo Switch and my OLED Nintendo Switch... I'm good until they release the " 'New' Pro".
-By model b, I mean the very 1st hardware revision, the one that failed to stop Hacked Switches. It still has the same OG chip. While it had failed them it did have a very slight improvement with storage. I forget exactly how...the original information on it is buried, as searching "revision" would result in several articles on the Newer, Better Battery Performance CPU Models.
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