Switch 2 demand reportedly dropping, Nintendo to reduce production by a third

Gaming consoles haven"t been performing too well in recent times, and it looks like not even Nintendo is immune to the effects. A new report has come out saying that the company"s new console hasn"t met its sales expectations and that this will mean a 30% reduction in production output to match the lessened demand.

The report comes from Bloomberg, which is citing sources close to Nintendo for this data. The scaled-back production of the Nintendo Switch 2 is mainly attributed to dropping sales in the US. The 2025 end-of-year holiday season had reportedly been weaker than expected. The Switch 2 exclusive Metroid Prime 4: Beyond selling less than a million copies during its launch month also hadn"t helped with the situation.

Nintendo"s original plans had it producing six million units of the Switch 2 in this quarter, per the report. However, this has now been reduced to four million units to account for the lowered demand, continues Bloomberg, with the lowered production plans set to continue going forward too.

Switch 2 sales in Japan are said to be holding steady compared to the US. However, this is attributed in the report to the lower-priced variant that Nintendo sells in the region, which the company doesn"t make a profit from, unlike in other areas of the globe.

In the most recent sales numbers released by Nintendo, the Switch 2 was sitting at 17.37 million units sold in February. The company still expects to hit 20 million Switch 2s sold in this fiscal year.

It"s also unclear when Nintendo will have its rumored price hikes for the Switch 2 console as well, following in the footsteps of rivals like Sony and Microsoft. The component shortage is also hitting the Japanese giant, and while no official announcements have been made yet, previous reports have said that Nintendo is considering a price hike for the Switch 2 in 2026. The device is still holding on strong to the original $450 price point.

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