Analyst Predicts A “Silent” Year Ahead For Nintendo
An analyst from Kantan Games has predicted a “relatively silent” fiscal year ahead for Nintendo, citing the company’s Switch 2 price increases and lowered console sales forecasts. Dr. Serkan Toto noted that Nintendo’s situation is unusual in the gaming industry, as second-year console sales typically exceed first-year figures. However, Nintendo is now forecasting a 17 percent decline in unit sales for the coming fiscal year.
The analyst attributes this unexpected downturn to inevitable price hikes stemming from the ongoing memory crisis affecting the semiconductor and gaming hardware industries. Despite Nintendo’s efforts to establish an initial install base for the Switch 2, the company has been “caught on the wrong foot” by these challenging market conditions. The higher price points appear likely to hinder early adoption and sales momentum during what would typically be a much stronger period for new console hardware, potentially creating headwinds for the company’s financial performance in the months ahead.