Nintendo Cuts Switch Forecast Due to Component Shortages

Posted on November 4, 2021 by Paul Thurrott in Games with 2 Comments

As part of its latest earnings announcement, Nintendo cut its Switch sales forecast because of ongoing component shortages.

Nintendo reported that it earned an operating profit of $1.86 billion on revenues of $6.73 billion for the six months ending September 30, 2021. During that time, the firm sold 8.28 million Switch consoles—6.45 million of the original version and 1.82 million of Switch Lite—bringing total lifetime sales to 92.9 million units. Nintendo announced a new version of Switch with an OLED display in July, but it didn’t ship until October and isn’t reflected in these numbers.

But Nintendo was forced to cut its forecast for Switch unit sales in the current six-month period, from 25.5 million to 24 million, blaming the global chip shortage and related logistics issues. “At this moment, I don’t see a sign of the component shortages recovering,” Nintendo president Shuntaro Furukawa said during a post-earnings conference call. He admitted that the firm might need to cut its sales predictions again if the situation continues or worsens.

As for software, the Switch is still going strong, with 9.39 million software units sold in the previous six-month period and 681 million overall. It expects to sell another 20 million software units in the current six-month period.

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Comments (2)

2 responses to “Nintendo Cuts Switch Forecast Due to Component Shortages”

  1. MoopMeep

    Its pretty amazing if you think about it. PS4 and Xbox came out three years earlier and are more powerful but the switch has sold 92 million, xbox one 50 million and PS4 116 million. The switch is number #7 on the chart at VGChartz. I'll speculate that it will eventually surpass the PS4, that seems to be becoming more certain.

  2. Jim Lewis

    I have a $5K gaming PC with an Nvidia RTX 3090 GPU, an HP Reverb G2 HMD, and a full set of physical controllers (yoke, throttle control and trim panel, rudder pedals) for MSFS 2020. The grandkids just got a Nintendo Switch as a birthday present with The Legend of Zelda: The Breath of the Wild (BOTW) - the 2017 game that debuted with the Switch. I'm hooked! It's a massive open world play-it-in-any-order-that-you-like, go-anywhere-you want game. Unlike the Call of Duty series where you're rigorously channeled into a series of objectives, at least in single player mode (the ones I've played). Besides combat in BOTW, there are numerous complex and very stimulating puzzles to solve and you never know quite what to expect. It was very interesting to learn of the donnybrook that Nintendo had with Sony decades ago where Nintendo thought Sony was going to double-cross them and double-crossed Sony instead, leading Sony to develop the PlayStation to wreak an angry revenge after public humiliation. Given Nintendo's history of creating their whole own ecosystem, I don't see them ever making a PC version of any of their games but if they'd come out with a PC VR version of BOTW, even in just 1080p, I'd buy it and play it in a flash. It would be totally awesome. As a former hiker in the Adirondacks and the Sierra, I'm too old for all that in real life but I love the topographic map aspect of adventuring in BOTW, the climbing and paragliding, etc. Where BOTW ranks in the pantheon of the greatest video games ever varies quite a bit but it's certainly way ahead of Call of Duty in almost any ranking there is..... And MSFS doesn't even rank, pretty much, on the rating Richter scale (yeah, it's a sim, not a game, etc.).

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