Disruptions in the Nintendo Supply Chain

By Shiva Kumar

NEWS

TECHNOZIVE.COM  

According to reports, Nintendo is once again suffering supply chain difficulties in Japan.

According to a new Nikkei article, the company is currently experiencing a "frustrating" sales slump, moving 33% fewer units in April-June compared to the same period last year.

According to Famitsu figures, Switch unit sales were roughly 840,000 in the most recent quarter.

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According to Famitsu figures, Switch unit sales were roughly 840,000 in the most recent quarter. This period (April to June) saw a 10% decrease compared to 2020.

According to a Nintendo spokesman, "a scarcity of chip ingredients" is affecting Nintendo's production process.

Negotiations to obtain the necessary parts appear to be proceeding, although a Nintendo official stated that "the prognosis is uncertain."

The Japanese firm is currently fighting for parts with other video game developers (like Sony, which is also experiencing supply chain disruptions).

Then there are the IT firms that require these critical components, such as smartphone manufacturers and even automobile manufacturers.

As of March 31, 2022, more than 107 million Switch units had been sold, according to Nintendo's official data.

For the rest of 2022, the company's software lineup includes titles such as Xenoblade Chronicles 3, Splatoon 3, and Bayonetta 3

This news comes on the heels of a report last week that Nintendo was hoarding goods and tripling its supply spending:

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