Nintendo: “It will not be easy to maintain hardware sales at the same pace” as Switch enters 7th year

Nintendo president Shuntaro Furukawa has informed investors that the Kyoto-based video game company will find it difficult “to maintain hardware sales at the same pace as before” as the Nintendo Switch enters its seventh year on the market. Mr. Furukawa says that the company is exploring additional ways to make consumers pick up a Nintendo Switch console and points towards the upcoming opening of Super Nintendo World at Universal Studios Hollywood as one way consumers “will encounter Nintendo topics in areas outside of the dedicated video game platform” along with the upcoming Super Mario Bros. Movie.

“Nintendo Switch, which will soon enter its seventh year, has sold over 120 million units cumulatively, and we believe that it is entering uncharted territory in Nintendo’s dedicated video game platform business. In this environment, it will not be easy to maintain hardware sales at the same pace as before. For this reason, our new challenge for the seventh year is finding ways to encourage users who are considering new purchases, replacement purchases, and additional purchases to pick up a Nintendo Switch.

We believe that both new titles and evergreen titles can create opportunities for new users to purchase hardware. Furthermore, maintaining engagement with the hardware can lead to the introduction of new software. In December of last year, we saw the highest-ever level of Nintendo Switch engagement, and many consumers continue to play Nintendo Switch. Given the situation, it is important going forward to communicate the appeal of Nintendo Switch through software offerings to consumers considering new purchases, replacement purchases, and additional purchases of the hardware.

SUPER NINTENDO WORLD will have its grand opening at Universal Studios Hollywood this February, and The Super Mario Bros. Movie will premiere in April. By creating opportunities for consumers to encounter Nintendo topics in areas outside of the dedicated video game platform, we aim to maintain the overall momentum of our business.

As we continue the Nintendo Switch business over the long term, we have tried to preserve the value and prices of both hardware and software as much as possible. We do not believe that policy needs to be changed at this point.”

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