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Nintendo Reduces Switch 2 Production on US Sales Slump

▼ Summary

– Nintendo is reducing Switch 2 production after weaker-than-expected holiday demand, especially in the US.
– The company now plans to make 4 million units this quarter, down from an original target of 6 million.
– This production cut represents a one-third decrease from the initial plan.
– The reduced output rate is expected to continue into the month of April.
– The information comes from unnamed sources as the figures are not publicly disclosed.

Nintendo has scaled back manufacturing plans for its upcoming Switch 2 console, a direct response to weaker-than-anticipated demand during the critical holiday sales period. The company’s decision follows a notable sales slump in the United States market, where consumer interest for the $450 device did not meet internal projections.

According to sources familiar with the company’s production schedule, Nintendo now intends to manufacture approximately 4 million units of its flagship device in the current quarter. This figure represents a significant reduction, roughly one-third lower than the original target of 6 million units. The people, who requested anonymity because the information is not public, also indicated that this reduced output rate is expected to persist into April. This production adjustment underscores the challenges of forecasting demand for a major hardware launch in a competitive and price-sensitive market.

(Source: Bloomberg)

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