Nintendo foresees Switch 2 hardware sales declining during the system's second year of availability--an unusual development for successful games systems. This comes as the hybrid console has already sold almost 20 million units in 10 months, but with a price hike waiting in the wings.

The company behind Mario explained why fiscal 2027's (April 1-March 31, 2027) forecast sees a reduction in Switch 2 sales, with the current estimate at 16.5 million units sold. Nintendo offered the following reasons for the reduction: "In light of the strong sales performance in the first year following launch and price adjustments, we expect unit sales for the fiscal year ending March 2027 to decline year-over-year. That said, we view this as a healthy level of sales for Nintendo Switch 2 in its second year after launch, and we continue to anticipate further growth in its installed base."

Intriguingly, the major launch-year success for Switch 2 caught Nintendo a bit off-guard. The company even admitted that the system's sales "reached a level we had not experienced with any of our previous hardware systems."

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