Nintendo Switch Sales Hit by Chip Shortage

With global chip shortages affecting everything from computer parts to car electronics, Nintendo has admitted that they too are affected when it comes to Nintendo Switch sales.

Previously, Nintendo has forecasted their Nintendo Switch sales to be at around 25.5 million units. However, due to the chip shortage, they have reduced it by 1.5 million, leaving only 24 million units in estimated sales this financial year.

Why did this happen?

Due to COVID-19, semiconductors have been scarce. This is due to the main semiconductor manufacturers having to shut down their operations during the beginning of the pandemic. Among the ones affected are Taiwan Semiconductor Manufacturing and Samsung Electronics.

With semiconductors being used by practically anything electronic, and most of the supply coming from the same companies, it’s no wonder that there would be a global shortage. Even the likes of Microsoft and Sony have seen a shortage of stock for their current-gen consoles, the Xbox Series X and the Playstation 5.

According to Simon Segars, the Chief Executive Officer of ARM said that this imbalance of supply and demand has been the most “extreme” he has ever seen. ARM is currently the largest semiconductor company in the UK.

Although Nintendo is expecting lower console sales, they are optimistic when it comes to software. They have also revised the number of game sales projected, from 190 million to 200 million in total. 

For those of you who still thinking about getting your hands on a current-gen console, well you better decide quickly. It seems that getting your hands on a new console will be more of a battle royale than the games themselves. With the holiday season just around the corner, consoles will be selling like hotcakes!

What do you think about the Nintendo Switch sales forecast? Let us know in the comments below.
Featured Image Credit: Nintendo
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