Switch

Nintendo Reportedly Facing New Switch Production Issues That Could Cause Shortages

Switch

The Nintendo Switch has been particularly tricky to get hold of in various parts of the world over the last few weeks, partly thanks to its popularity and partly thanks to coronavirus-related stock issues. A new report suggests that these stock issues may well continue, with Nintendo said to be struggling to acquire necessary parts.

The report comes from Bloomberg, which states that government-imposed lockdowns in Malaysia and the Philippines are causing new problems for Nintendo. Printed circuit boards found within the Switch are manufactured in Malaysia, and the Philippines provides passive components which are then attached to those PCBs; with both nations having to limit business operations at present, production of the console is expected to be impacted.

Nintendo had recently promised that more Switch stock was on the way, and its recent fiscal year earnings report noted that the coronavirus outbreak hadn’t had too much of an impact on business thus far. It appeared that the worst may be over for Nintendo, with supply issues in China starting to ease up a little, but this could prove to be a new headache to have to deal with.

“The inventory may recover in the summer, but we may see shortages again toward the year-end because Nintendo wouldn’t be able to produce enough units for the shopping season,” Ace Research Institute analyst Hideki Yasuda told Bloomberg.

Nintendo’s current fiscal year forecast accounts for such drawbacks, with a prediction of 19 million console sales being set. This means that Nintendo expects Switch sales to fall by 9.6% year-on-year.

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