Nintendo has announced that it plans to increase production of its hybrid gaming console Nintendo Switch, sources close to Bloomberg said.
Nintendo had revised its forecast to 19 million units in November last year because of component shortages, but after selling 21 million units for the year ending in March, it has now revised that statement and said that it plans to double down on production.
The Nintendo Switch was launched in 2017, four years after the launch of Sony's PlayStation 4 and Microsoft's Xbox One. While Sony and Microsoft have already launched new consoles in 2020 (PlayStation 5, Xbox Series X|S), Nintendo seems to be happy with their six-year old console for now.
While the Switch has now started to show its age, the demand for the console remains high. It was the best selling console in the United States for 2022 and according to IGN, ranked number five in the best selling console list of all time in 2022.
According to Bloomberg, Nintendo has already told suppliers and partners to prepare for more units in the fiscal year starting April. It is also prepared to revise its plans, in case demand is not high.
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Talking to Bloomberg, Kenji Fukuyama, an analyst at UBS Securities said that Switch sales during the holiday season "were not that strong even with the improved supply".
“People will soon start speculating about next-generation hardware and are likely to refrain from buying the old system. A slowdown in Switch sales momentum is unavoidable,” added Fukuyama.
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