As TechRaptor reported earlier this month, the coronavirus outbreak has squelched Switch supplies in Japan. Now according to a report from Bloomberg, there will likely be Switch shortages for both the U.S. and Europe starting in April.
The issue continues to be shortages at a Vietnamese assembly factory which receives components from China and makes consoles for the U.S. While the Asian consoles are assembled entirely in China, in the wake of the escalating trade tensions Nintendo moved some of its manufacturing for the United States to Vietnam. Component shortages, according to the report, would not cause a shortage of systems in the U.S. and Europe until April.
A major issue for Nintendo here is that Animal Crossing: New Horizons is launching March 20 and a special Animal Crossing edition of the Switch is coming a week before that on March 13. While initially there shouldn't be an effect in Westerners' ability to purchase the system and the game, just a few weeks later there could be a shortage of systems.
Such a shortage would be critical for Nintendo. According to Bloomberg, 43% of Nintendo's business comes from the U.S. market. There has already been a shortage in Nintendo's Japanese market, which makes up 21% of the company's business. Don't forget: Europe could also be affected in April, which makes up 27% of Nintendo's core business. That's not good in the same time period a major first-party title is launching.
And it's not just Nintendo being affected. Supply shortages in China - a country that accounts for 90% of all console hardware manufacturing - may also force delays of the PlayStation 5 and Xbox Series X later this fall. Game titles like the Switch port of The Outer Worlds has also been delayed. Beyond game products, the Taipei Game Show has also been delayed and two Chinese Overwatch League teams have relocated to South Korea.
The recent coronavirus outbreak first began in Wuhan City, Hubei Province, China, and was declared a public health emergency by the World Health Organization on January 30.
How do you think Nintendo and other gaming companies will fare amidst these supply shortages? Do you plan on trying to pick up a Switch before April? Let us know in the comments below!
