Tokyo (AFP) – Nintendo shares tumbled as much as seven percent on Friday after the Japanese games giant failed to impress with a teaser video of its hotly awaited Switch 2 console. The brief clip released Thursday showed a gadget that is bigger but broadly similar in appearance to the original hybrid Switch, which can be handheld or connected to a television. Nintendo gave no technical specifications such as screen resolution or processing power for the machine, which will be on sale — for an undisclosed price — at some point in 2025. This kept gamers and analysts guessing until a live-streamed presentation on April 2 and subsequent real-world “experience” events in major cities worldwide.
The stakes were high for the announcement, with gaming websites in recent weeks reporting on “industry whispers” and glimpses of purported prototypes. The first Switch has sold more than 146 million units since its launch in 2017, making it the world’s third-bestselling console after Sony’s PlayStation 2 and Nintendo’s DS. “Because of all the information that was already out there, maybe people were just like, ‘this is what I expected’,” said former Nintendo employee turned podcaster Krysta Yang in a YouTube reaction video. Nintendo shares closed 4.3 percent lower in Tokyo on Friday. Their value had risen strongly in recent months, gaining more than 12 percent in the last half-year.
Investor concerns mounted as the Switch 2’s screen is larger, as are the overhauled detachable “Joy-Con” controllers that snap on — possibly with magnets — rather than sliding into position as before. Eagle-eyed gaming websites noted what they said appeared to mouse-like functionality for the Joy-Con, a mysterious extra button and a new USB-C port. Key will be the games, and Nintendo’s two-minute trailer also showed off a new version of the long-running Mario Kart series both on the new console’s built-in screen and on a TV. The previous instalment of the game, “Mario Kart 8”, has sold more than 64 million copies. Bloomberg Intelligence technology analyst Nathan Naidu said while the new Mario Kart was a “bright spot”, investors may fear that the gadget will hit shelves too late. “As Switch 2’s release will be at least three months behind its predecessor, it might fail to top the 15 million units the Switch achieved in its first full year,” he warned.
Nintendo had promised to unveil its next console by the end of March, saying it would also run games for the previous Switch. On Thursday, the company cautioned that “certain Nintendo Switch games may not be supported on or fully compatible with Nintendo Switch 2”, with further details to come.
“There was really no pressure from gamers for Nintendo to reinvent the wheel,” Serkan Toto from Tokyo consultancy Kantan Games told AFP. “Gamers are surely not blown away by the reveal like they were when the original Switch was shown for the first time, but I think year-one demand at least will be very high.” But Switch fans in Tokyo’s gaming hub of Akihabara were upbeat. “They’ve obviously listened to fans and what has to be improved,” said Camden Voysey, 21, a tourist from Australia. “I’m not really fussed on finding out every detail so far. It’s just a nice little sneak peek,” he added. Daniel Nguyen, a 34-year-old from Canada, said it was “nice to know that they’ve made a lot of improvements, especially to the controller ergonomics and the bigger screen size.” “I’m definitely looking forward to playing a lot of my old Switch games at a higher resolution.”
Nintendo has been diversifying into theme parks and funding films based on its characters such as the huge 2023 live-action hit “The Super Mario Bros. Movie.” But the Kyoto-based firm “still generates approximately 91 percent of its revenue from its Nintendo Switch business, which shows the importance of the Switch 2,” said Darang Candra of industry research firm Niko Partners.
© 2024 AFP
