Nintendo is picking up the pace due to high demand for its hybrid console.
The gaming giant is reportedly planning to increase production of the Switch after the Japan-based company ships roughly 21 million units in the coming fiscal year ending March 2024.
In November 2022, Nintendo slashed its full-year sales forecast for the Switch — its best-selling home gaming console ever — to 19 million units following lackluster profits. The company reported $4.5 billion in sales for the six months ending Sept. 30, 2022 — up 5% year-over-year.
Switch sales reached 6.68 million units during that same period — down 19% year-over-year — as Nintendo was hampered by the ongoing chip shortage plaguing the tech industry.
- Nintendo raised its Switch sales projection, believing it can now reach demand.
- As of Sept. 30, the company has sold 114.3 million Switch units since its 2017 release.
- The best-selling console of all time is Sony’s PlayStation 2 at over 155 million units.
Nintendo is also looking to bolster its reach in the mobile gaming market, which is projected to exceed a valuation of $215 billion by 2028.
In November 2022, the company announced a joint venture with mobile gaming company and “Animal Crossing” co-developer DeNA. The two entities will establish Nintendo Systems Co., Ltd., which will work to “strengthen the digitalization of Nintendo’s business.”
Last year, the Public Investment Fund — Saudi Arabia’s sovereign wealth fund — acquired a 5% stake in Nintendo for $3 billion, making it the company’s fifth-largest shareholder.