Nintendo Switch is one of the best-selling and loved consoles of recent years but there is an underlying problem that does not depend on it: the chip crisis. This crisis started with the shortage in the automotive field and has gradually expanded to many other sectors. Xiaomi, in due course, announced a price increase of televisions for this very reason and it is not excluded that companies also increase the prices of smartphones. But that said, here's what that chip crisis brought to Nintendo.
Next year we will see less Nintendo Switch and the reason is there for all to see: the chip crisis has also hit this company
The shortage of electronic components in the world is far from over and Nintendo needs to cut down on Switch production to mitigate the financial impact of this problem. According to information obtained from Nikkei (via Reuters), the company plans to produce 20% less of consoles by March 31 next year, compared to the amount previously forecast.
Nintendo's original idea was to produce 30 million of Nintendo Switch, but the company has said it will only be able to deliver 24 million. This issue should affect not only the production of the traditional models of the device, but also the production of the Nintendo Switch Lite and OLED versions, which launched last month. A side effect that serves to extend the life of all models.
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A representative of Nintendo explained to the Japanese newspaper that the decision was made due to the crisis of the lack of chips in the market. Even with the new Switch OLED, the company will not be able to deliver the expected number of consoles for the first quarter of 2021.
As of June of this year, Nintendo shipped more than 89 million Switches worldwide since its launch in 2017. However, sales have slowed since last year, following the console popularity spike caused by the debut of Animal Crossing: New Horizons and the pandemic.
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