Michael Pachter: Switch Successor Won't Release Until 2024 at the Earliest - NewsWilliam D'Angelo , posted on 01 November 2021 / 3,278 Views
Wedbush Securities analyst Michael Pachter in the latest Pachter Factor Q&A discussed when Nintendo will likely release the successor to the Switch and whether if the power of Nintendo hardware matters at all.
"I think that probably the earliest you're going to see a new console is  and more likely ," said Pachter. "So again, not because they can't, they can, it's because they're making so money making Switches."
He added, "If the Switch is still $300 it will drop to $250 likely after Christmas and once supply and demand get in balance again. The OLED will become the de facto model of $300. But they're minting money at $300.
"That thing costs them less than $150 to make. Probably less than $100. So they're able to make a ton of money as long. As long as they are what's the rush [to] bring out a new console."
Pachter did say if Nintendo believed Microsoft and Sony were competition they would release a new console sooner. However, Pachter says Nintendo doesn't consider Microsoft and Sony competition.
"If they believe the competition was Microsoft and Sony they would [release a more powerful console]," said Pachter. "This [goes] is back to Mr. Iwata and his blue ocean strategy. That's the mantra of the company.
'[Nintendo is] absolutely convinced that they're playing on a different playground than everybody else and they don't care how many Xboxes or PlayStations are sold. And in fairness to them if you want to play Nintendo games you're buying a Nintendo console.
"As long as they have good content and a lot of it they're going to keep selling Switches. And one thing they've got is good content and a lot of it. If you start to see a decline in sales of software you could worry, but you're not. Their games are killing it. They're just selling so many units of everything and it's because their games are really, really good."
A life-long and avid gamer, William D'Angelo was first introduced to VGChartz in 2007. After years of supporting the site, he was brought on in 2010 as a junior analyst, working his way up to lead analyst in 2012. He has expanded his involvement in the gaming community by producing content on his own YouTube channel and Twitch channel dedicated to gaming Let's Plays and tutorials. You can contact the author at firstname.lastname@example.org or on Twitter @TrunksWD.