Nintendo is reportedly increasing the production of new Nintendo Switch consoles, the Japanese tech giant is looking forward to having 25 million units shipped in the current fiscal year.
COVID-19 has poised an interesting challenge in the video-games industry, at first, Nintendo had to stop the sales of Switch consoles in Japan to satisfy the needs of Europe and America. Now, there is a surge in need of new ways of entertainment, the Nintendo Switch has excelled in sales in 2019, and is set to sell even more consoles in 2020.
According to insiders, Nintendo is still facing component shortages and shipping issues, however, the manufacturing plants are promising to be back at maximum capacity in December.
Earlier this year, Nintendo released its staggering ‘Nine Months Earnings Release’. As Nintendo reported being close to selling 18 million Switch units, the company’s initial goal for the financial year, executives decided to raise their forecast of Switch’s sales to 19.5 million units.
Nintendo of Japan President Shuntaro Furukawa has often warned that “prolonged problems will affect the product delivery plans” when asked about COVID-19. The company is trying to develop as many consoles as possible in anticipation of the second wave of infections.
In April 2020, it was reported that Nintendo told it’s manufacturing plants to increase the production of hardware in 2020. The idea is to increase production by 10% in 2020.
“We hope [suppliers] will be responsive to the production increase, but for procurement of some parts, the outlook remains uncertain, and we can’t forecast exactly how many Switches can be supplied” Told Nintendo to Nikkei.
Nintendo’s strong reports of the Q1 is thanks to the launch of Animal Crossing: New Horizons, the game has shipped 10.6 million copies worldwide, for a total of 22.4 units sold. The net sales of Nintendo had doubled year-on-year to $3.4 billion.
Source: TaipeiTimes
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