After lowering its sales outlook for the popular Switch videogame console, Nintendo Co. plans to release a smaller, cheaper version of the device as early as this year, according to a new report.
Japan’s Nikkei reported Thursday that Nintendo has told its suppliers and game developers about plans for “miniaturizing the console” as well as “cutting features to reduce the price and expand the userbase,” according to a translation by the blog Nintendo Everything.
Nintendo 7974, -5.70% was mum on the report, saying in a statement: “We have nothing to announce on this topic.”
Earlier in the day, Nintendo reported strong holiday-quarter earnings behind its best-ever quarter for Switch sales. But the Japanese videogame company also lowered its fiscal-year forecast of Switch sales from 20 million units to 17 million units.
In October, the Wall Street Journal reported a new version of the Switch was in the works for 2019, though it suggested an upgraded version with new hardware and software features.
The console, with sells for about $300, debuted in 2017 to surprisingly strong sales, with demand exceeding supply in the year-ago holiday quarter. More than 32 million units have been sold since its debut, Nintendo said.
The Nikkei report also said Nintendo is expected to launch a new version of its Nintendo Switch Online service “aimed at game enthusiasts” sometime in 2019.
Nintendo shares have risen 15% year to date, but have fallen nearly 30% over the past 12 months, compared to the Nikkei 225 index’s NIK, +0.64% 3.8% gain in 2019 and 10% decline over the past year.
Get the top tech stories of the day delivered to your inbox. Subscribe to MarketWatch's free Tech Daily newsletter. Sign up here.
Source: Read Full Article