Nintendo has revealed its sales projections for the Switch 2, stating that it expects to sell 15 million units during its initial launch window, despite industry analysts' higher forecasts. However, Nintendo believes that the price will be a big factor in its performance.

The details:

In its latest financial report, the Japanese gaming giant revealed that it expects to sell over 15 million Switch 2 consoles over the next fiscal year, as well as 45 million games excluding bundled copies of Mario Kart World. This would surpass the original Switch's impressive sales of just under 15 million units between its March 2017 launch and December of that year. It also beats out its competitors, with the Xbox Series X/S and PS5 selling 7.5 million units each despite widespread shortages during the pandemic.
Despite the high expectations, investors have questioned why the company is not aiming higher, given the hype surrounding the console. In a new investor Q&A, Nintendo president Shuntaro Furukawa explained that the Switch 2's higher price tag than its predecessor may result in fewer sales in the future. To counter a potential drop in sales, the company plans to bundle games with consoles. "Nintendo Switch 2 hardware is priced relatively high compared to Nintendo Switch," said Furukawa, "so even if there is momentum around the launch, we know it will not be easy to keep that momentum going over the long term through the holiday season and beyond."
The president also clarified that production of the Switch 2 has had no impact on its projections, after previously stating that the console will most likely be in short supply at launch. "We have been working to ramp up Nintendo Switch 2 hardware production since even before we held the Nintendo Switch 2 Experience events and began My Nintendo Store applications," Furukawa said. "Our sales volume forecast was not determined based on any limit to production capacity."
Lastly, Furukawa confirmed that US tariffs and the possibility of a recession do not factor into its forecast. However, he stated that the tariffs have had an impact on the financial side of things, with the Switch 2 having lower profit margins and pricing changes likely if US President Donald Trump chooses to impose harsher tariffs.

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Switch 2's high price tag is a major factor in lower sales forecast, Nintendo says