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[Thick Thighs Save Lives]

During Nintendo’s 84th Annual General Shareholders’ Meeting, the company’s CEO Shuntaro Furukawa addressed concerns regarding potential resale and scarcity of the upcoming Nintendo Switch successor.

According to the shareholders’ Q&A session report published by Nintendo on July 1, when asked about what measures Nintendo will be taking to prevent the resale of their new console, Furukawa explained that production of the Nintendo Switch in the past two years was impacted by the semiconductor shortage, making it difficult to meet demand. However, Furukawa notes that this situation has been resolved, and that Nintendo does not expect component or material shortages to impact the Switch’s successor.

Furukawa comments that the most important countermeasure in preventing resale of the Nintendo Switch’s successor will be ensuring that production quantities keep up with customer demand. In addition, the CEO mentions that the company is looking into possible legal ways to counter resale, taking into account each region’s circumstances.

The successor to the Nintendo Switch is planned to be announced during the current fiscal year.

Nintendo Switch successor not expected to be impacted by shortages, Nintendo to battle scalpers and scarcity - AUTOMATON WEST

Nintendo's CEO Shuntaro Furukawa says the Switch's successor will not be impacted by shortages and that the company will battle resale legally.

automaton-media.com

 

[NanaMiku]

You can read the English Q&A here: https://www.nintendo.co.jp/ir/pdf/2024/240508e.pdf

Furukawa also taking shots at Xbox for all the acqusitions

I'd like to hear your thoughts about your game software development resources. You will be
announcing your software lineup for the second half of 2024 in a Nintendo Direct in June but
judging by the first half, the lineup seems weaker than usual. Have much of your development
resources already been shifted to the successor to Nintendo Switch? I'd also like to hear about
your long-term strategy for expanding your development resources.

Shuntaro Furukawa (President and Representative Director, Member of the Board):
Creating a successor to Nintendo Switch takes years of preparation, so of course many
aspects must be taken into consideration in terms of software development resources. But we
are also continuing to develop software for Nintendo Switch, and will announce more about
our upcoming software lineup at the Nintendo Direct scheduled in June.
We have continuously expanded our development resources over the past several years
through the recruitment of recent graduates and mid-career hires. We will continue to actively
work to secure the necessary development resources to increase the long-term value of our IP
and to constantly offer unique entertainment proposals. Although development resources
could be expanded through M&A, first we will work within the company with our developers,
who thoroughly understand and have built up the Nintendo brand over the years, to have
them nurture talent who can drive Nintendo's future development. In addition, many of our
external development partners have gained a deep understanding of Nintendo's way of
thinking and game development methods over the many years of collaboration, and we would
like to further strengthen our ties with such partners. The process of game development will
inevitably become longer, more complex, and more advanced. It is vital that Nintendo offers
consumers new and unique experiences through game development, so we will actively invest
in expanding our development resources.

 

[Thick Thighs Save Lives]

You can read the English Q&A here: https://www.nintendo.co.jp/ir/pdf/2024/240508e.pdf

Furukawa also taking shots at Xbox for all the acqusitions

That's a different one which I've already posted here.

Business - Full Q&A English Summary of Nintendo's Financial Results Briefing for Fiscal Year Ended March 2024

Source - https://www.nintendo.co.jp/ir/pdf/2024/240508e.pdf Quite a few interesting things in here so I thought it deserved its own thread instead of a one-off reply in one of the other threads about Nintendo's latest financials. Q1: I'd like to hear your thoughts about your game software...

www.neogaf.com

This one is from the 84th Annual General Shareholders’ Meeting which happened a few days ago on June 27th and there's no official EN translation yet.

 

[NanaMiku]

Oooo oops

 

[Kataploom]

When they say resale, it seems to refer only to those that cooperate to buy in big quantities, create artificial scarcity and then sell at higher prices

 

[Dorfdad]

100% there will be a shortage and that’s how they want it.

 

[mrcroket]

There will be no scalpers because THEY will be the scalpers who sell it overpriced.

 

[Barakov]

Nintendo Switch successor not expected to be impacted by shortages, Nintendo to battle scalpers and scarcity - AUTOMATON WEST

Nintendo's CEO Shuntaro Furukawa says the Switch's successor will not be impacted by shortages and that the company will battle resale legally.

automaton-media.com

 

[gamer82]

since ebays normally where you find all the scalpers maybe they will come up with some rulling that prevents the consoles from benig sold on that platform. hopefully all other retailers will have limits of how many can be purchased and making new accounts etc will not be possible to get more goods. either way im sure they have a task on their hands if i get one day one cool if not no big deal i can wait it out .my gaming time seems to be getting less these days so switch oled can tide me over alittle more if need be.

i have a feeling though we still have at least another year with switch , releasing a new switch lite for zelda i don't feel nintendo are in a rush to launch this and it really seems like a waste of funds at this stage if your gong to end up upgrading in a few months.

 

[DGrayson]

i have a feeling though we still have at least another year with switch , releasing a new switch lite for zelda i don't feel nintendo are in a rush to launch this and it really seems like a waste of funds at this stage if your gong to end up upgrading in a few months.

Yes but it can also mean guaranteed backwards compatibility.

 

[ManaByte]

When they say resale, it seems to refer only to those that cooperate to buy in big quantities, create artificial scarcity and then sell at higher prices

Nintendo Yakuza about to go in raw on the Sneaker Bros.

 

[Mister Wolf]

Sounds good. Hopefully I see a return on my investment in Nintendo stock.

 

[NanaMiku]

Nintendo should research the Gunpla scalping in Japan. Gunpla scalping in Japan is crazy. The scalper are Chinese and they even organized a group to combat the 1 customer 1 unit policy. Recently, Bandai and stores have taken steps to combat this. Bandai now also sells Gunpla in convenience stores so it's more available. Stores also do unique steps such as opening the box and cutting one of the runners so it's not mint anymore.

 

[Thick Thighs Save Lives]

Oooo oops

It's all good.

Nintendo should research the Gunpla scalping in Japan. Gunpla scalping in Japan is crazy. The scalper are Chinese and they even organized a group to combat the 1 customer 1 unit policy. Recently, Bandai and stores have taken steps to combat this. Bandai now also sells Gunpla in convenience stores so it's more available. Stores also do unique steps such as opening the box and cutting one of the runners so it's not mint anymore.

 

[UltimaKilo]

Let’s see what production is like come September / October. Hopefully there will not be many production issues.

 

[tr1p1ex]

They all say that. Of course they have no expectations to offer way less than demand. But they also don't know what the demand will be. And they never want to store 20mn in a warehouse for a year either because that only jacks up the price of the console. And results in an older device being released.

 

[ShadyAcshuns]

I hope they stick it right up scalper's asses.

 

[digital_ghost]

I was fortunate enough to get a ps5 preorder at launch for MSRP.

Hope i can do the same for Switch 2.

 

[ReyBrujo]

So, they aren't dropping the price because they are still meeting the demand due that semiconductor shortage?

 

[Maltosier]

i have a feeling though we still have at least another year with switch , releasing a new switch lite for zelda i don't feel nintendo are in a rush to launch this and it really seems like a waste of funds at this stage if your gong to end up upgrading in a few months.

Didn't they release the New Nintendo 2DS like... after the Switch was already out? They sure do like making interesting decisions like that.

 

[Guerilla Munch]

If they're serious about battling scalpers they can just give first dibs on launch units to tenured Nintendo Online members.

 

[Codes 208]

They fuckin’ better

I still have ptsd from the original launch

 

[Badlucktroll]

 

[Wooxsvan]

News - Nintendo Switch successor to be released in March 2025 — Nikkei

I wouldn't expect a 4 month delay to have any impact on the parts used at all. Wasn't thinking 4 months, but a theoretical 1 or 2 years, accounting for COVID/etc.

www.neogaf.com

I predict the largest single day unit sales in console launch history. The time they are taking to build up stock is a great strategy. Otherwise if they had launched earlier the stock would have immediately sold out and then people would be waiting for restocks instead of buying Switch 1 stock. This way they maximize all hardware sales.

 

[March Climber]

I still have ptsd from the original launch

Time for round 2

 

[nbcjr]

Best way to combat scalpers is having an official website in which customers can buy a console (even if it would take months to fulfill the order)

 

[Codes 208]

Time for round 2

Bu-but the ps5 was round 2…and many of us will never financially recover from that!

 

[ReBurn]

Scalpers are about to win again

 

[Codes 208]

Scalpers are about to win again

Watching a scalper have a tantrum at a pawnamerica because they refused to take his ps5’s for more than 500 a piece after they finally started becoming more normalized in stores was stupidly cathartic

 

[Azelover]

I hope for their sake that the product is really good. Because if it is another Wii U they are gonna be stuck with a huge inventory and huge losses. I hope they know what they're doing...

 

[Zannegan]

My MO for avoiding scalpers has been to mosey over to Gamestop on the day preorders open up. Typically they have enough reserved for in-person preorders that you can get one.

If that doesn't work this time around, I guess I'll hold off. I'd rather spend a few more months pottering around through my backlog than pay a scalper a dime. People are going to get paid how they can, I get that, but I'm not going to reward someone for inserting themselves into the supply chain to charge me more. I've got other hobbies and a scrap of patience. I can do without for a bit and then catch up.

 

[Gambit2483]

Scalpers completely ruined PS5s launch and it's effects were felt for years.

If Nintendo is serious about this they will develop a system with retailers to also allow in-store preorders. Like how it's almost always been.

 

[//DEVIL//]

It will be sold out in 5 seconds and will be scalped till no tomorrow

 

[Dr. Wilkinson]

This was reported on months ago at another Investor mtg. None of this is new information. It’s just regurgitation.

 

[ReBurn]

Watching a scalper have a tantrum at a pawnamerica because they refused to take his ps5’s for more than 500 a piece after they finally started becoming more normalized in stores was stupidly cathartic

Anybody expecting a pawn broker to buy something for more than retail price is a moron to begin with.

 

[{insert code here}]

Nobody gonna like this and it's an insane idea for sure but, I think they could realistically beat the scalpers by massively increasing the price of the launch units to 1000-1200$ or whatever price they estimate the scalpers would charge. Nintendo would get to pocket all that extra cash instead of the scalpers and they could, through rebates or free games or other incentives return that money to the users. The obvious downside is that this prices out the majority of consumers and would create a shitstorm of bad press to name a few. I ran this idea by a couple of my friends and it's quite complicated. Scalping is a very difficult problem to solve.

 

[Radical_3d]

 

[simpatico]

Very smart move. Putting a great deal of effort into having just a massive amount of stock at launch could capture sales from people who otherwise might wait a year or 2 and get distracted by other products. Savvy moves on the business side as usual from big N.

 

[Codes 208]

Anybody expecting a pawn broker to buy something for more than retail price is a moron to begin with.

Agreed, but when they were scarce they were paying more than retail and selling them for more.

 

[BlackTron]

Nobody gonna like this and it's an insane idea for sure but, I think they could realistically beat the scalpers by massively increasing the price of the launch units to 1000-1200$ or whatever price they estimate the scalpers would charge. Nintendo would get to pocket all that extra cash instead of the scalpers and they could, through rebates or free games or other incentives return that money to the users. The obvious downside is that this prices out the majority of consumers and would create a shitstorm of bad press to name a few. I ran this idea by a couple of my friends and it's quite complicated. Scalping is a very difficult problem to solve.

The main point of beating scalpers is to enable normal customers to buy the item at the intended entry price.

How do we keep the pests from eating our crops? Destroy the crops! Yay we've beaten them.

 

[{insert code here}]

... to enable normal customers to buy the item at the intended entry price.

Unfortunately with bots and now AI this is no longer a reality for anyone.

 

[Robb]

As long as I’ll be able to snatch one at launch I don’t care either way.

 

[StereoVsn]

Unfortunately with bots and now AI this is no longer a reality for anyone.

Sure they can.

They could sell online stock (1 per person, 2 per family) for folks with Nintendo Online subscription.

They could do pre-order in stores deals with GameStop, BestBuy and European retailers.

They could do 1 per online verified account in stores like BestBuy where the retailer already has relevant customer info.

There are a bunch of things Nintendo “could” do. I just doubt they are going to bother.

 

[gamer82]

Yes but it can also mean guaranteed backwards compatibility. that would be cool to already have a collection of games ready to go still got plenty to play from switch and hopfully it give the current games a new lease and more polish on the new system.

that would be cool i still have games i haven't got around to and if it gives them some upgrades on the new system that would be welcomed. Also a bigger library to play with while we wait for new games. fingers crossed th eonly thing if the did do backwards compat with games like mk8 delux being there do you think they would just delay the next game even longer hopefully not.

 

[KungFucius]

Very skeptical of this. To meet initial demand they are going to need millions and millions of units and then need to provide a steady state stream of new units to the market. This is always a challenge for any high demand product because manufacturing capacity is expensive, storage of inventory is expensive and changing either is also expensive. Its not like switch is selling much less now either, but this is probably why they think they can handle this. They are likely thinking they can use the storage they have now because switch is slowly declining to stockpile and convert switch 1 manufacturing capacity to switch 2.

What they should do is start taking preorders early and promise to back fill them if they sell out of launch units. And keep doing this. I get that people are impatient, but knowing you have an order in for something that is sold out everywhere is calming. Also they should launch far enough away from Xmas to eliminate that from the launch variables.

 

[ThaGuy]

I remember Microsoft mentioning they thought about combating scalpers this way. Order console from their official website(Microsoft/Sony/Nintendo) and place your console order and watch it being built from scratch. So they give you the dates from the time it's being processed, built, and shipped.

I ordered some custom made Nike shoes from the Nike site and it breaks it down like this. If I know I'm guaranteed to get one and can track it being built and shipped , I don't mind waiting a month or two compared to trying to click buy before a bot does on a website lol.

 

[simpatico]

If PS5 was widely available at launch I’d own one and honestly have some buyers remorse at this point considering the output. There’s value in making a move like this for Nintendo. I can’t be the only one.

 

[PeteBull]

If PS5 was widely available at launch I’d own one and honestly have some buyers remorse at this point considering the output. There’s value in making a move like this for Nintendo. I can’t be the only one.

Dont feel bad, bro, ps5pr0 is coming this november, might be scalpers heaven again tho, coz launch price only gonna be 500-600 so scalpers easily gonna re-sell it for 1k bucks first few months, by the time of gta6 launch tho we will all be able to get it, hopefully even bundled

 

[Esppiral]

Shortages? What is it 2020? Nintendo as allways a few years later.

( Yes I know there are shortages but not as comparable as 2020)

 

[AJUMP23]

I bet they are already manufacturing the system or at least have some factories lined up to roll out a couple million by launch.