Nintendo is maintaining its sales predictions for the first year of the Switch 2, despite the console’s performance exceeding the company’s own expectations. According to its latest financial results, the brand has sold 5.82 million units of the Switch 2 by the end of June, with over 6 million sold to date. This follows a record-breaking launch, where the console sold 3.5 million units in its first four days alone.
The company issued an apology to customers facing difficulty purchasing the console due to stock shortages. “We will continue to strengthen our production and supply systems to deliver as much Nintendo Switch 2 hardware as possible,” the company stated.
Despite these strong initial figures, Nintendo is not adjusting its sales target, estimating it will sell 15 million Switch 2 units by the end of March 2026. This would allow the console to surpass the lifetime sales of the Wii U in less than a year.
Tariffs and Pricing Adjustments
Nintendo says it does not believe that U.S. tariffs will have a “significant impact” on its earnings forecast. The console was unveiled just days before President Donald Trump implemented new tariffs on goods from countries around the world. At the time, Nintendo chose not to change the console’s price but did increase the price of some accessories.
However, Nintendo’s production in Vietnam now faces a new 20% tariff for goods shipped to the U.S., an increase from the previous 10% charge. It remains to be seen if the company’s initial comments on tariffs will hold true given this change. In May, Nintendo President Shuntaro Furukawa had stated that the company would “consider adjusting prices” if tariffs changed. This new tariff could potentially force a price increase for U.S. customers, a move Nintendo may be inclined to make given the high demand for the console.
The Original Switch’s Continued Success
The original Nintendo Switch continues to perform well, selling 0.98 million units in the same period. If this trend persists, especially with potential price drops, it may soon become Nintendo’s best-selling console ever.
With 153 million units sold to date, the Switch is closing in on the Nintendo DS, which holds the top spot for a Nintendo console at 154 million units. However, it is unlikely to overtake the PlayStation 2, which remains the all-time best-selling console with 160 million units sold.
What The Author Thinks
Nintendo’s decision to maintain its initial sales forecast for the Switch 2, despite its record-breaking launch, is a classic example of the company’s cautious and deliberate business strategy. In a market fraught with supply chain challenges and evolving tariffs, under-promising and over-delivering is a safer bet than setting an overly ambitious target that might be missed. This conservative stance, however, also highlights the potential risks of a price increase due to the new tariffs on Vietnam. While the company is riding a wave of unprecedented demand, it must carefully balance its profitability with the risk of alienating consumers who may be sensitive to price hikes.
Featured image credit: Heute
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