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bonzobanana said:

 The only real downside is Nvidia being the business partner they may screw up the success somehow applying leverage for higher royalties even on older chipsets and force Nintendo to move to a different hardware platform. Nvidia may just keep pushing for a larger slice of the pie keeping retail prices high and downsizing the possible install base.

Also Nintendo software prices are very premium. Your money goes a lot further with android, ios, PC and PS4 which have very low pricing or heavy discounting for older games. It's another factor that will give pressure to reduce Nintendo's sales.

Lastly we are prejudging Switch demand too early. Yes there is low stock but at this point we don't even have an install base of 6 million, there could well be a slowdown.

Nvidia CEO said that relationship with Nintendo "will likely last two decades". It's obvious that Nvidia and Nintendo look at long time partnership, so in that on mind hardly that Nvidia will screw Nintendo if they relly want long time partnership. Its most likely that Nvidia will provide chips for Switch revisions and future Nintendo hardwares for few generations.

Nintendo software prices were premium even with Wii, also Nintendo does has Nintendo Selects line where they selling older games for $20.

Switch just won Avgust in US again and its still selling great in Japan, actually shipments were bigger in late July and August compared to previous months and there are still shortages, and soon Mario Odyssey and holiday season will come. So obviously, Switch sales are not slowing down and it won't be slow down anytime soon. If you look VGC numbers, 5.4m is without August and September sales. Switch with shipments in last quarter (July, August and September) will be closer to 7m than to 6m.