Nintendo has reported weaker-than-expected results for its fiscal third quarter, slashing its forecast for the Switch console ahead of the release of its successor, the Switch 2. The company now expects to sell 11 million units of the current Switch console, down from a previously-reduced estimate of 12.5 million units.
The decision comes as investors and fans eagerly await more details on the upcoming Switch 2, which was teased in a trailer showing off its hardware last month. Nintendo has also announced that some Switch games will be compatible with the Switch 2, but it has yet to reveal a price or release date for the new console.
Despite the disappointing results, Nintendo’s success with the Switch has been significant, with over 150 million units sold worldwide since its launch in 2017. The company’s steady stream of hit games, including Pokémon and Super Mario titles, has helped maintain user engagement.
However, analysts warn that convincing users to upgrade to the Switch 2 while ensuring those sticking with the original console remain supported will be a significant challenge for Nintendo. Omdia predicts that the Switch 2 will launch in the first half of 2025 with sales of 14.7 million units this year.
The company’s cautious approach to releasing new hardware is seen as a necessary step, given its massive user base and the success of the original Switch. As one analyst noted, “the phenomenal success of the Switch is a double-edged sword” – it has brought in significant revenue but also makes it harder for Nintendo to convince users to upgrade.
Source: https://www.cnbc.com/2025/02/04/nintendo-switch-2-in-focus-as-gaming-giant-posts-profit-miss.html