Nintendo raises Switch output to record 30m on stay-at-home demand
Boom in paid subscriptions helps to drive gaming device's success
asia.nikkei.com
TOKYO -- Nintendo will ramp up output of the Switch to about 30 million units this fiscal year, Nikkei has learned, marking an all-time high for the flagship gaming device in a bid to capitalize on continuing stay-at-home demand.
The Kyoto-based company approached multiple parts suppliers about accelerating production. People with direct knowledge of the matter verified plans to expand output.
Nintendo is taking an unusual step for a device that is already in its fifth year of existence. The strategy will have to contend with a number of new rival offerings that have appeared in the last year.
In addition, Nintendo will release a follow-up Switch model capable of better graphics. This will be the first such offering since the 2019 release of the Nintendo Switch Lite.
In the previous fiscal year through March 31, stay-at-home demand brought about by the pandemic fueled blockbuster sales of the social game "Animal Crossing: New Horizons" and the new "Monster Hunter" title.
Nintendo appears to have broken a new consolidated profit record in fiscal 2020. Such an earnings report would echo the results from fiscal 2007, when the company released its two hit devices the Wii and the DS.
Reminder that Nintendo will release it's financial report for the fiscal year this upcoming Thursday.