Nintendo expects 10% drop in Switch sales in 2022, citing supply issues

Chip shortages continue to plague console manufacturers.

Image by joatseu from Pixabay

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There is no denying that the Nintendo Switch has been one of the best-selling consoles of all time, surpassing 100 million units sold worldwide and officially moving more consoles than either the Wii or the PlayStation 1. However, that doesn’t mean that the company is immune to the same troubles that have plagued others for the past several years.

In a story first broken by financial newspaper Nikkei, Nintendo is expecting sales of the Switch to be much slower in the upcoming financial year. The company expects to sell around 20 million Switch consoles in the upcoming year, around 10% lower than 2021’s sales figure. The reasons for this are the same as most electronics companies around the world; a global shortage of semiconductors and disruptions to delivery networks around the world. In particular, the new lockdowns in China, where many components are manufactured, are contributing to this decrease in sales, as is the ongoing Russian invasion of Ukraine.

However, that doesn’t mean the company is expecting to be out of cash in the upcoming year. Software sales should keep them profitable throughout the 2022 year much as they did in 2021 when games like Pokemon Legends: Arceus kept the company’s profits strong throughout the year.