{"id":47863,"date":"2025-05-12T13:41:52","date_gmt":"2025-05-12T04:41:52","guid":{"rendered":"https:\/\/automaton-media.com\/en\/?p=47863"},"modified":"2025-05-12T13:41:54","modified_gmt":"2025-05-12T04:41:54","slug":"nintendos-modest-switch-2-sales-forecast-is-based-on-its-higher-price-not-limitations-in-production-capacity-or-tariffs-according-to-ceo","status":"publish","type":"post","link":"https:\/\/automaton-media.com\/en\/news\/nintendos-modest-switch-2-sales-forecast-is-based-on-its-higher-price-not-limitations-in-production-capacity-or-tariffs-according-to-ceo\/","title":{"rendered":"Nintendo\u2019s modest Switch 2 sales forecast is based on its higher price, not limitations in production capacity or tariffs, according to CEO\u00a0"},"content":{"rendered":"\n

In its financial report<\/a> for the fiscal year ended March 2025, Nintendo revealed that it expects the Switch 2 to ship 15 million units worldwide by the end of March 2026, with software sales for the same period estimated at around 45 million. The projected figures are close to those of the original Switch, which sold almost 18 million units in its first 13 months.  <\/p>\n\n\n\n

Given the unprecedented popularity of the new system<\/a>, many believe Nintendo is consciously low-balling its sales forecast for the Switch 2 to factor in tariffs and other uncertainties. In a shareholder Q&A published<\/a> on May 9, Nintendo gave a more in-depth explanation of the forecast, with CEO Shuntaro Furukawa emphasizing that is it not based on the company\u2019s limitations in terms of production capacity nor tariffs. <\/p>\n\n\n\n

\"Nintendo<\/figure>\n\n\n\n

\u201cWe\u2019ve set projected sales for the Nintendo Switch 2 in the ongoing fiscal year at 15 million units. This figure is based on a target comparable to sales of the original Nintendo Switch during the 10-month period from its launch in March 2017 to the end of December the same year.\u201d However, Furukawa adds, \u201cthis sales projection was not determined based on limitations in our production capacity. The situation with US tariffs and concerns about economic downturn have also not affected our forecast. In order to achieve the target of 15 million, we will need to manufacture even more units than that.\u201d <\/p>\n\n\n\n

On the other hand, Nintendo identifies the Switch 2\u2019s price as a challenge \u2013 \u201cSince the Switch 2 is priced higher than the original Switch, we recognize that there will be considerable hurdles in achieving the console’s widespread adoption in the early stages.\u201d The company believes that the new system\u2019s backward compatibility and sales of software bundles will help in overcoming this, but the price tag seems to remain the main cause for Nintendo\u2019s cautious approach. <\/p>\n\n\n\n

Nintendo is fully aware of the Switch 2\u2019s strong performance both in terms of feedback and pre-orders, but Furukawa doesn\u2019t want to take this initial momentum for granted \u2013 according to the CEO, the real challenge will be sustaining the new console\u2019s momentum despite its higher pricing \u2013 especially keeping sales steady into the year-end holiday season and beyond. <\/p>\n\n\n\n

As for production capacity, Furukawa says that Nintendo started ramping up production even before the results of demo events and pre-order application were in, and is planning to manufacture a significant quantity to meet demand.  <\/p>\n\n\n\n

Related article: Switch 2\u2019s cheaper, region-locked version is overwhelmingly popular among Japan\u2019s 2.2 million pre-order applicants, survey suggests\u00a0<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Nintendo CEO Shuntaro Furukawa goes more in-depth on the company’s conservative forecast for sales of the Switch 2.<\/p>\n","protected":false},"author":55,"featured_media":47866,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_gspb_post_css":"","footnotes":""},"categories":[3],"tags":[33],"class_list":["post-47863","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-nintendo"],"blocksy_meta":[],"yoast_head":"\nNintendo\u2019s modest Switch 2 sales forecast is based on its higher price, not limitations in production capacity or tariffs, according to CEO\u00a0 - AUTOMATON WEST<\/title>\n<meta name=\"description\" content=\"Nintendo CEO Shuntaro Furukawa goes more in-depth on the company's conservative forecast for sales of the Switch 2.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/automaton-media.com\/en\/news\/nintendos-modest-switch-2-sales-forecast-is-based-on-its-higher-price-not-limitations-in-production-capacity-or-tariffs-according-to-ceo\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Nintendo\u2019s modest Switch 2 sales forecast is based on its higher price, not limitations in production capacity or tariffs, according to CEO\u00a0 - 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