The number of companies getting hit hard by the novel coronavirus continues to grow. While most have probably heard phones and tablets likely to have their release dates delayed, the Nintendo Switch could be another device joining the ranks. Already hard to secure in some regions, the recent outbreak may just make it doubly hard since the company will be dealing with delays in needed components.
In a report from Bloomberg, it appears the Nintendo Switch will originate from Vietnam. There is an assembly partner over there that relies on components from China. Most know how the Chinese government was forced to shut down operations due to the outbreak, and it appears the Vietnamese assembly partner will be hit as well.
It has yet to be reported whether Nintendo has any alternative course of action with this development. And while there are no clear numbers on the supplies on hand as of this writing, a safe estimate is that the company will run into component supply issues by April. Game Spot points out that this could happen after the launch of "Animal Crossing: New Horizons."
Some companies have started to operate but on a low scale. That includes some Apple stores, which started some incremental openings in China. Component issues may continue in the coming weeks, although some Chinese factories are expected to resume full operations soon.
The thing about getting a Nintendo Switch is that supply has always been an issue. A reason seen behind this is the high demand for it. Incidentally, it was the Japanese company that previously announced that they did not see the coronavirus posing a problem on game console sales in North America and Europe. It appears they overlooked things and may end up with an even bigger supply shortage mess.
Like Apple, there is no telling if the virus outbreak would factor in as far as Nintendo Switch sales are concerned. They topped hardware sales last January, outselling the PlayStation 4 and the Xbox One. The Switch has been consistent with its year-to-year jumps, although it still experiences some decline in sales year-over-year, Venturebeat reported.
“Hardware spending in January 2020 declined 35% when compared to a year ago, to $129 million,” NPD analyst Mat Piscatella said. “All in-market platforms declined when compared to a year ago.”
Aside from the impending delay of the Animal Crossing-themed variant, supplies of the Ring Fit Adventure will also experience delays over in Japan. It should be interesting how hard revenue will be affected, the numbers of which are likely to be out soon.
