Nintendo's recent earnings report suggested a conservative estimate for the Switch 2's first-year sales, projecting 15 million units sold, lower than analysts' expectations. The company faced challenges including US tariffs and complexities surrounding pricing. However, early indications show substantial interest, with pre-orders far exceeding expectations, especially in Japan where 2.2 million applications were recorded. Despite these hopeful signs, Nintendo came off a painful decline in sales, as existing Switch sales have dropped 30.3% year-on-year, making a strong launch of Switch 2 critical for their market performance.
Nintendo's cautious predictions for the Switch 2 suggest they might be managing expectations amidst uncertainty, particularly regarding US tariffs and pricing challenges.
Despite Nintendo's conservative sales forecast of 15 million for Switch 2, pre-orders indicate explosive demand, surpassing expectations significantly with 2.2 million applications in Japan alone.
The company has reported a massive drop in sales, with a 30.3% decline year-on-year, which underscores the need for the new console to revitalize interest and sales.
With pre-orders already sold out and supplemented by a backlog, Nintendo is banking on the new model to reconnect with enthusiasts after eight years of the original Switch.
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