Nintendo to Reportedly Scale Back Switch 2 Production By Over 30% After Weak U.S. Sales
Yesterday, reports came in suggesting that Nintendo is preparing a revised Switch 2 model with a replaceable battery for Europe. The company is reportedly mulling over that decision to stay in line with upcoming EU regulations, which will officially take effect by 2027.
Nintendo is reportedly adjusting Switch 2 production after weaker demand in the US during holiday sales
Well, that development comes alongside a report by Bloomberg that suggests Nintendo is also being cautious about its production strategy (via GameIndustry.biz). Per the report, the company is scaling back the production of Switch 2 after holiday sales reportedly fell short of expectations, especially in the US.
Sources cited in the report suggest Nintendo now plans to produce four million units this quarter, down from an earlier target of six million. This production cut is expected to continue into April, hinting at a more measured supply approach.
The current-gen console appears to have weaker demand in the US, even as a lower-priced domestic variant performed well in Japan. That imbalance may have influenced the company’s decision to adjust production volumes rather than risk oversupply.
The company is reportedly still confident about the handheld’s future
That being said, Nintendo is reportedly confident in the Switch 2’s long-term outlook, hinting that the production cut could be a short-term correction measure rather than a deeper issue. Notably, factors like rising component costs or memory shortages, which were linked to Switch 2’s production cost last year, haven’t reportedly influenced the decision. All that said, there’s no official word from Nintendo at this point.
With production dialing back and a hardware revision possibly on the way, it’ll be interesting to see how Nintendo plans to balance demand, pricing, and compliance across regions.
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