TOKYO (Reuters) – Nintendo will launch the Switch 2 console this year, the successor to its successful Switch device, the Japanese video game company said on Thursday (16).
The Kyoto-based company did not disclose pricing for the new device, and said it would provide more details at a Nintendo Direct event on April 2.
Nintendo said existing software will be able to be used on the new device, although some games may not be fully compatible.
Consumers and investors have been waiting for details on the new console, which appears to closely follow the playbook established by the Switch portable-home hybrid.
“The reveal didn’t have the strength of the original Switch,” said Serkan Toto, founder of consultancy Kantan Games.
“What we saw is more like a ‘Switch Pro’ — an updated version that’s bigger — than a Switch 2,” he said, adding that the launch will likely be after June.
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The Switch transformed Nintendo’s fortunes after the poor performance of the Wii U console, and has sold more than 145 million units.
Nintendo extended the life cycle of the Switch, which was launched in 2017, with hardware updates and successful games from franchises such as Super Mario and The Legend of Zelda.
The company, whose shares were boosted in anticipation of strong consumer demand for the new device, said it expects to sell 12.5 million units of the aging Switch console in the fiscal year ending in March.
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“The Switch 2 is poised to reinvigorate hardware sales,” Jefferies analyst Atul Goyal wrote in a client note ahead of the announcement.
“Even if Nintendo develops the capacity to manufacture 15 million Switch 2s in a year, demand is likely to outstrip supply for several months/quarters,” he added.
Nintendo relies heavily on its console business, even though it has opened physical stores and has a roster of characters featured in theme parks and films.
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Along with PlayStation maker Sony, Japanese companies remain the main console suppliers, even as technologies such as mobile and the cloud offer alternatives for gaming.
