Nintendo Switch shortages are expected due to new production issues

The fall will be an interesting season for gamers.

Photo via Max Pixel

The Nintendo Switch could be in danger of another shortage towards the end of the year due to lockdowns taking place in Malaysia and the Philippines, according to a report by Bloomberg.

The two countries have been the center for producing Nintendo’s printed circuit boards and passive components.“The inventory may recover in the summer, but we may see shortages again toward the year-end,” said Hideki Yasuda, an analyst at Ace Research Institute. The increasing demand during the holiday season seems to be one of the biggest reasons behind the possible shortages.

Though Nintendo expected a similar scenario in February mostly due to its production lines in China, shortages didn’t get out of hand since the issues were resolved sooner than expected. 

Animal Crossing’s major success was one of the key factors behind Nintendo Switch’s impressive sales in spite of the COVID-19 outbreak.

Nintendo is also on the clock to capitalize on Switch’s popularity. Sony and Microsoft are getting ready to release the next generation of their consoles during the next holiday season.

The company recently reported that it was expecting its profits to decline by 15 percent with a total of 19 million expected Switch sales during the current fiscal year.