Nintendo Will Launch Switch Lite Despite Waning Sales in Aging Devices

Nintendo Will Launch Switch Lite Despite Waning Sales in Aging Devices - Wibest Broker

As of now, Nintendo is preparing for the launching of a more affordable version of its flagship Switch console, the Switch Lite. On the other hand, the fate of its aging handheld business has been on a doubt.

The Japanese company will release Switch Lite in September. And it will be the firm’s most recent handheld device that has fewer features and will retail cheaper than Switch. Also, this came at the same time as interest in the gaming company’s aging devices is waning. Examples of these devices are the portable 3DS, which showed a slowing sales.

Senior analyst Daniel Ahmad said that mobile games might be the solution to the 3DS.

Ahmad stated, “Mobile is on track to sort of replace it if Nintendo can generate.” As a result, it will give the firm a chance to offset 3DS software sales with mobile.

In the financial report for the quarter that ended on June 30, Nintendo’s mobile and intellectual property-related income rose 10% year-on-year to 10 billion yen, or around $94.26 million.

Mobile Games of Nintendo

According to Ahmad, the performance of mobile gaming portfolio of Nintendo to date has been mixed.

The Fire Emblem Heroes was the best performing game released on mobile by Nintendo. In addition to that, the total gross revenue of the title was $591 million or almost 70% of its full mobile portfolio’s earnings.

Meanwhile, other titles did not perform well. For example, the game Super Mario Run, which launched in December 2016, delivered $72 million by comparison even though it was 200 million times downloaded.

And right now, it seems Nintendo’s mobile and console gaming divisions are not together. And even though the firm wants to use its engagements to its mobile consumers as a path to selling more consoles and console games.

Ahmad believes that Nintendo is still studying the mobile space. And it continues to experiment with its ideas like the buy-to-play model.

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