Nintendo says chip shortage hitting hardware development

By: |
November 05, 2021 2:55 PM

Japan's Nintendo Co Ltd said on Friday that a global chip shortage which forced the firm to scale back expectations for sales of its hit Switch device is also hitting hardware development.

Japan's Nintendo Co Ltd, hit Switch device , semiconductor situation, Shuntaro Furukawa, Kyoto-based firm, Microsoft are expanding subscription and cloud gaming servicesCompany President said there was no sign of chip shortages easing as Nintendo cut its full-year Switch sales forecast. (Reuters)

Japan’s Nintendo Co Ltd said on Friday that a global chip shortage which forced the firm to scale back expectations for sales of its hit Switch device is also hitting hardware development. “The semiconductor situation is having some effect on hardware development,” Nintendo executive Ko Shiota, who heads the development team, told an analyst briefing.

“We are looking at substituting components and tweaking designs to try and reduce the impact,” he added. The comments come a day after company president Shuntaro Furukawa said there was no sign of chip shortages easing as Nintendo cut its full-year Switch sales forecast.

The Kyoto-based firm is heavily reliant on its console business at a time when deep-pocketed rivals such as Microsoft are expanding subscription and cloud gaming services.

Nintendo on Friday declined to comment on plans for next-generation hardware but refers to an “integrated hardware-software next gaming system” in company slides.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, Check out latest IPO News, Best Performing IPOs, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Smart Factory: Smart solution for smart businesses
2Quantum SonoTrix 81 speaker: Modern-day jukebox on a tight budget
3U&i Shuffle 4: A smart neckband with 15-hour battery life