Nintendo
Switch has generated more profit for Nintendo than the previous 35 years combined
Nintendo Switch is unleashed and has generated more profit for Nintendo than the previous three and a half decades combined.
That the Nintendo Switch is the Japanese company’s most successful console is no secret, but recently released official figures put the impact of the “Switch hurricane” into context. Since the launch of Nintendo’s hybrid, the company has made more profit than in the previous 35 years combined. A true juggernaut that proves the true potential of the humble device. And its successor is already on the horizon.
Nintendo Switch, unstoppable: Since its launch, Nintendo has made more money than in the previous 35 years combined.
These days, Nintendo released its latest financial results. Respected X user @pierre485_, who specializes in the monetary aspect of the video game sector, has seen fit to translate the raw data into more visually appealing graphs and highlight a very important detail. It turns out that since its launch on March 3, 2017, to the present day, the company has made a net profit of 2.576 billion yen.
This amount is higher than their net profits between 1981 and 2016 when they collected 2,376 billion yen. In other words: Nintendo Switch has been such a success for the company that they have managed to earn more than they did in the previous 35 years.
If we take into account inflation and the fluctuation in the value of the yen, this statement is still true; Nintendo’s net profits between 1981 and 2016 would be 2,691 billion yen with inflation, while the net profits for the period 2017-2024 would be 2,696 billion yen, a higher amount.
The graph shows two moments of downward trend that coincide with the Nintendo GameCube and Wii U periods, which are considered Nintendo’s biggest failures in terms of hardware and software sales. The Wii U era was also the only two fiscal years in which the company made a loss, leading to measures such as the late Satoru Iwata cutting his salary in half.
This chart makes two things clear: Nintendo is not afraid to experiment, and they are able to learn from their mistakes, as the numbers in the table show.
What is the reason for Nintendo Switch’s high revenue?
While companies like Microsoft have recently been embroiled in controversy with the closure of award-winning and well-received game studios like Hi-Fi Rush, Nintendo is content to have a large and diverse catalog of exclusive video games. Titles that can’t be played on any other system are what ultimately encourage gamers to buy one machine or the other.
To put numbers on the table, Switch has a total of 67 self-published video games that have sold over one million copies. Their philosophy of keeping the system well stocked with exclusive games year after year, month after month, works because it translates into more sales for the console, whereas for other companies, barely breaking a million sales would be considered a failure.
Mario Kart 8 Deluxe is the undisputed king of the Nintendo Switch, with more than 60 million copies sold. Other success stories for Nintendo’s hybrid console include Animal Crossing: New Horizons with 45 million units sold, and Super Smash Bros. Ultimate with 34 million units sold.
The Switch demonstrates an unequivocal truth about video games: the general public prioritizes a wide range of titles across genres and exclusive games over cutting-edge technical aspects. These are the keys to the overwhelming success of Switch.
Nintendo Switch, is on track to become the best-selling console in history
The number to beat to become the best-selling console in history is 155 million units, and that record is still held by the unburnable PlayStation 2, launched in 2000. Nintendo’s latest official figures put the Switch at 141 million, and its projections estimate that it will have sold 154.82 million consoles by March 2025.
The company has announced that it will announce the successor to the Nintendo Switch before the end of the current fiscal year (which ends in March 2025), and many experts agree that this delay and the Switch’s unusually long life cycle are aimed at dethroning the PlayStation 2 as the best-selling console of all time.
As with the company’s other systems, such as the recent Wii U and Nintendo 3DS, it is expected that Nintendo will heavily discount the Switch ahead of the next console’s launch for two reasons: first, to begin clearing inventory for the brand’s next game console, and second, to boost sales in order to surpass the coveted figure of 155 million units sold.
The current retail prices for the various Switch models, in packages that include only the console and no additional games or accessories, are as follows
This means that in case of an alleged upcoming discount, the final price should be lower than the current one.