'Here we go!': Nintendo begins sales of the Switch 2 with the goal of selling 15 million units in its first year.
The new Nintendo Switch 2 was released worldwide this Thursday with the aim of surpassing its predecessor and clarifying the direction of video game consoles in the coming years. The Japanese firm has sold more than 150 million units of the original Switch , launched in 2017, making it one of the biggest successes for the Kyoto firm and in the history of consoles. Nintendo wants to expand on that success with an improved hybrid model that combines more graphically powerful video games with mobile titles. On the horizon, it faces two major challenges: video games as a service and Sony's return to the portable arena.
The fear of a new Wii UNintendo's history is filled with resounding successes like the NES and the Nintendo DS, as well as some significant failures. The most recent was the Wii U. Launched in 2012 as the successor to the original console, its failure led to all expectations being placed on the Switch, a console that combined the capabilities of a handheld with a conventional TV-connected machine . Its formula was a success, becoming the third most successful console in history, behind the PlayStation 2 and the DS.
Now Nintendo must ensure that the Switch 2 maintains the console and video game manufacturer's leadership. The Japanese firm plans to sell 15 million Switch 2 consoles in its current fiscal year, which ends March 31, 2026. The company expects the new platform to boost its sales and achieve a 63% revenue growth.
Nintendo hasn't revealed console reservation and distribution data for its launch. Stores from Japan to the United States are complaining of a lack of stock to meet the large volume of orders. Many stores are already displaying "out of stock" signs due to high demand, which has dragged down Nintendo's share price on the Tokyo stock exchange. The company fell 2% on the launch day to 11,850 yen per share.
Growing competitorsNintendo's new venture brings with it an initial controversy for gamers: the launch prices of titles, such as the upcoming Mario Kart World , will cost more than 80 euros. Added to this is the weight of the mobile industry, which generates more than $100 billion in revenue worldwide each year and is dragging down the sector.
One of the keys to mobile success is games as a service (also present on other platforms). These are titles with a prominent multiplayer component that release recurring content through seasons and competition systems. Players can purchase a monthly subscription to continue playing, as is the case with older MMOs, with World of Warcraft being the most prominent example, or take advantage of the various customization options to purchase in-game items with real money . In this second area, Fortnite is the undisputed king.
The success of the Switch has led Sony , Nintendo's eternal rival, to want its own handheld . Further details about this new console, which will be released alongside the PlayStation 6, are unknown. While Sony has never succeeded in the handheld market with its PSP series, the growing competition poses a risk to Nintendo, which has already beaten Lenovo and Valve with its own handheld platforms.
eleconomista