Soundwave said:
Yet no-name Chinese companies have no problem getting LCDs, and NAND flash, and all of that in quantities that put any game console to shame (some of these guys are shipping 20 million phones a non-holiday quarter Jan-Mar 2017 ... lol, Nintendo and Sony cannot even manage that in a full year).
IMO, Nintendo does not want to go to other vendors because they didn't make a deal beforehand and would now have to pay a bit more for those parts.
They chose to stick to vendors that are close to Apple thinking they could piggyback off Apple and get cheaper components and their quest for cheap shit has backfired because Apple is asking for more than what Nintendo forsaw.
So for the time being they basically have no choice but to kinda ride this out.
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You dont know that, maybe they also have problems geting some parts, fact is that is huge shortage of NAND memory on market. Switch is also selling great despite Nintendo can sell much more despite they have shortage problems. Those Chinese companies were making phones even before this year, and they are like you wrote Chinese companies so for them it's definitely much easier to find parts in China, and probably they making phones with ever they have available. On other hand, we have Nintendo that made contract for some amont of specifiky parts, and they want to incrase produaction but they have problem beacuse its huge shortage for them.
Yes, maybe they could get parts from other vendors they need in order to increase manufacturer of Switch, but that would most likely mean significantly higher price compared to contract they made. And if you have huge shortage of NAND memory on market, difference for NAND definitely wouldn't be small in any case.
Nintendo most likely choice vendors that offers what they need and gave them best deal, regardless Apple or any other company.
So yes, they can wait for better shipments of components they need (we already saw that Nintendo has bigger shipments in late July and Avgust and they said further incrase will be from fall), or they can try reaching other vendors that would certainly affect production price in any case if they find parts at other vendors.
bonzobanana said:
People need to remember that news that emanates from companies like Nintendo themselves is more about marketing than reality. It is what they want consumers to believe not necessarily what is true. It may hide a more damaging truth that they don't want consumers or shareholders to know. It certainly looks good for the perceived quality of the Switch to be using the same parts as Apple but then many other products some incredibly cheap also share some of the same components.
Nintendo are not your friend they are a business and the more money they can extract from you the better they are running that business. I mean in their history there is gambling, prostitution and even links to the Japanese mafia. It's just a company. I only mention it because I'm not one for brand loyalty but see other's who seem to often come to an illogical defence of Nintendo who clearly believe every news report that comes from Nintendo. |
Actually this article is first time that Nintendo mentioned that there is problem with getting some components, while WSJ and other sources reported few months ago that Nintendo have hard time increasing production because they are battling from same parts with Apple and there is shortages on market for same parts that Switch is using.
Also its fact that they are huge shortages on market of same parts that Switch is using, espacily NAND memory, so there are not much reasons to doubt about point that Nintendo has problems incrsing production beacuse there is big shortage of components on market and they are battling with much bigger players on market (like Apple) for same parts.
