Japan based video game developer and consumer electronics manufacturer Nintendo Co Ltd. (TYO: 7974) has reduced its full year estimates sales for Switch consoles by 6% as the company doesn’t see it achieving its previous set estimate before the year wraps up.
The company says that it won’t be able to meet the demand increase expected in the holiday period for the Switch console due to the global chip shortage which has caused major production disruption at many companies.
“We can’t produce enough to meet the demand we are expecting during the upcoming holiday season. Currently there is no sign of improvement and the situation continues to be severe so I can’t say how long it will continue,” said the company’s president, Shuntaro Furukawa, during a press statement.
The company was expecting full year Switch sales of 25 million units. For the six months ended September the company had sold 8.28 million units which signifies a huge decline compared to the 12.53 million sales the company recorded at a similar period last year.
Last month, the company launched the Switch OLED model priced at $349.99. As we head to the holiday season, its expected demand of this console will be high notwithstanding that it’s still not available in many markets.
