Nintendo Expects Switch 2 Sales to Decline Year-on-Year, But Still Pace Ahead of Switch 1

Nintendo has revealed that Switch 2 sales are expected to decline over the next 12 months following the console's massive launch period. In a financial results briefing released this morning, the company explained that hardware sales "were more concentrated in the launch year in comparison to previous hardware systems."

Despite the projected slowdown, the Switch 2 has already made history as Nintendo's fastest-selling console ever. While momentum cooled slightly in the U.S. and parts of Europe toward the end of 2025, the platform's trajectory remains impressive. Nintendo now forecasts sales of 16.5 million units for the upcoming financial year, a drop from the 19.86 million units sold since its debut. Even with this decrease, cumulative Switch 2 sales at the 22-month mark remain ahead of the original Switch 1's performance at the same stage in its lifecycle.

Price Hikes and Economic Pressures

The financial report also confirmed a significant price adjustment for the hardware. On September 1, Nintendo will increase the Switch 2 price by $50, bringing the total to $499.99. Similar increases are planned for Europe, while Japan will see a price hike on its region-locked models as early as this month.

These changes come amid mounting economic challenges. A recent Bloomberg report suggested that Nintendo is currently selling Switch 2 consoles at a loss—a stark contrast to the profitable early years of the Switch 1 era. The company is reportedly facing pressure to raise costs to combat a declining stock price, while also navigating several global headwinds:

  • Component shortages affecting manufacturing stability.
  • The threat of new tariffs on hardware.
  • Geopolitical instability and war in the Middle East impacting supply chains.

Software Performance and Upcoming Releases

Despite the hardware shifts, Nintendo's software library is seeing massive engagement. Mario Kart World continues to dominate, with 14.7 million units sold including console bundles. Other notable performers include:

  • Donkey Kong Bananza: 4.52 million units.
  • Pokémon Legends Z-A: 3.94 million on Switch 2 and 8.85 million on Switch 1.
  • Tomodachi Life: Living the Dream: 3.8 million copies in just two weeks.
  • Pokémon Pokopia: Over 4 million copies sold in its first month.

The Pokémon franchise remains a powerhouse, with combined eShop sales for LeafGreen and FireRed exceeding 4 million units. Nintendo reported that its annual playing user count remained steady at 129 million.

Looking ahead, the release calendar for the Switch 2 is filling up quickly. Yoshi and the Mysterious Book is slated for May 21, followed by Star Fox on June 25 and Splatoon Raiders on July 23. While Fire Emblem: Fortune's Weave is currently listed for a vague 2026 window, fans are keeping a close eye on rumors regarding FromSoftware’s The Duskbloods and a potential Legend of Zelda: Ocarina of Time remake arriving this holiday season. Further out, the roadmap already includes 2027's Pokémon Winds and Waves.