Switch 2 production capacity and US tariffs didn’t factor into sales predictions Nintendo said, as its forecasts were criticised by investors for being conservative.
Following its latest financial report where Nintendo predicted Switch 2 sales would slightly outsell its predecessor, multiple investors probed the company on why it hadn’t estimated higher sales during a Q&A.
“We are forecasting Nintendo Switch 2 hardware sales of 15m units for this fiscal year,” said Nintendo president Shuntaro Furukawa. “We set this figure with the aim of reaching the same level of sales we achieved with Nintendo Switch in the roughly 10-month period between its launch in March 2017 and December that year.”
To see this content please enable targeting cookies.
The “limits of our hardware production capacity were not a factor” in setting the sales volume forecast, he continued, and “the tariff situation in the US or a possibility of a recession did not affect our sales volume forecast either”.
“Our first goal is to get off to the same start we did with Nintendo Switch, and we are working to strengthen our production capacity so we can respond flexibly to demand,” said Furukawa.
In a follow-up question, the president continued: “We recognise the positive feedback from the Nintendo Switch 2 Experience events and the situation with applications for randomly selected drawings for pre-orders on My Nintendo Store in Japan. But the Nintendo Switch 2 hardware is priced relatively high compared to Nintendo Switch, so even if there is momentum around the launch, we know it will not be easy to keep that momentum going over the long term through the holiday season and beyond.