Nintendo is caught between its eight-year-old Switch console and the next-gen Switch 2 — a purgatory that usually hits sales. Sure enough, the company announced that it now expects to sell just 11 million consoles this fiscal year instead of the 12.5 million it originally forecast. That's in light of a fairly dismal holiday period that saw sales and profit drop by a third from last year, with consumers likely awaiting the Switch 2 launch sometime next year instead of buying the current lame-duck version.
The company hasn't been able to keep sales momentum with new games either, as revenue in that area is down 24.4 percent compared to the same three-month period last year. The company is only releasing a couple of new titles early in 2025 (Donkey Kong Country Returns, Xenoblade Chronicles X), before its reveal of the Switch 2 on April 2.
That reveal will be done on a special Nintendo Direct event and will be followed up with first-look experience events in cities around the world. The first ones will take place in New York City and Paris from April 4 to April 6, and more cities around North America, Europe, Oceania and Asia will follow. The company hasn't said much about the new model so far, other than that it will be backwardly compatible with current Switch games.
So far, Nintendo investors haven't been too worried about falling sales due to high expectations for the Switch 2. However, Nintendo will have to convince buyers that its next-gen console is a significant upgrade over the current Switch, ensure it has enough stock available to meet demand and keep current Switch owners happy.
That's no easy job, given that Nintendo has sold 150.86 million units since launch and boasts 129 million users playing annually. The Switch should become Nintendo's all-time best selling console later this year when it passes the Nintendo DS, which has the company's all-time sales record of 154.02 million units.
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