Nintendo expects Switch sales to decline this year; The shortage of chipsets continues

According to reports, Nintendo expects Switch sales to decline in the current fiscal year due to persistent shortages and disruptions in inventory networks.

According to a report released by the Nikkei, the source claims that Nintendo expects to sell about 20 million Switch consoles this fiscal year, down 10 percent from last year. The fiscal year 2020 will be reduced by about 30%.

The number of Switch consoles sold in fiscal year 2021 is estimated at 23 million units, which compared to the previous year when sales of this console reached 28.83 million units, 20 Earlier this year, Nintendo cited a global shortage of semiconductors as well as a successful effect such as Animal Crossing the year before and surprising sales. Nikkei said the decline was despite demand. It's a global challenge for Switch, and Nintendo reportedly wants to increase production if supply problems are resolved. "Nevertheless, the long-term shortage of chips and global supply chain disruptions, exacerbated by the Russian invasion of Ukraine, will affect their production," the source said.

Animal Crossing played a major role in Switch sales in 2020

In February, Nintendo announced that the Nintendo Switch console had sold about 103.54 million units as of December 31, 2021. Nintendo Switch has become the best-selling home console in Nintendo history, surpassing the company's seventh-generation Wii console, which managed to sell 101.63 million units.

However, Nintendo still has a relatively long way to go to become the best-selling console in Nintendo history. The Nintendo DS is currently the best-selling Nintendo console with 154.02 million units, followed by a record 118.69 million for the Gimboi (and Gimboi Color) console. In addition, Nintendo has a glimpse into the sales of Sony consoles, including the PlayStation 4 and PlayStation 2. The two consoles managed to sell 116.6 million and 158 million units, respectively. Of course, gaming and PlayStation 4 sales are quite probable and expected, but the main question is whether Nintendo can break the sales record of DS and PlayStation 2 with the Switch console or not. It depends on a number of factors, including when Nintendo's next console will be available and what the Switch will look like after that.

Source: VGC