Nintendo released the Switch console to critical acclaim in 2017, managing to surpass the lifetime sales of the GameCube in just a year and a half. With high success comes high expectations, however analysts are now predicting that Nintendo will miss its two-year sales target.
The Switch still holds the title of Nintendo’s fastest selling console of all time, thanks to flagship first-party games like The Legend of Zelda: Breath of the Wild, Super Mario Odyssey and Splatoon 2. Unfortunately, a new analysis from Bloomberg states that it is unlikely Nintendo can sustain such growth, potentially missing out on its 38 million unit sales target in March.
While Nintendo had hopes that the Switch would follow in the footsteps of the Wii, it seems that the new hybrid console has failed to penetrate the wider market. Its core fan base helped the Switch achieve its staggering success so far, keeping on track for 35 million units sold instead.
In recent months, the report states that Nintendo’s share price has plummeted from $435 to below $300, a staggering 33 percent drop since January. With Super Smash Bros. Ultimate holding the fort during the holiday season alone, it’s unlikely that Nintendo will recover enough footing in time for the completion of its second year. Wedbush Securities analyst Michael Pachter did suggest that the firm consider a price drop to below $200, or the introduction of iterative console upgrades – which has recently been rumoured.
“All great consoles need a great second year, and Nintendo hasn’t delivered one for the Switch,” said Cornelio Ash, an analyst at William O’Neil & Co. in Los Angeles. “Investors thought over five years they could sell maybe 90 million units. But after this year, that’s looking pretty much impossible.”
KitGuru Says: By no means is the Nintendo Switch a failure, though. And its line-up continues to impress as the firm further branches out into third-party and indie territories. Have you bought a Switch for yourself?