Nintendo appears to be readying itself for the holiday season earlier than usual as reports indicate a possible production increase for the Nintendo Switch. The popularity of its latest flagship game system has created demand that left retailers without inventory ever since its release two months ago. Interestingly enough, Nintendo's plans to bump up the console's manufacturing process has reportedly hit a snag. It seems that its supply chain is directly competing with Apple and Samsung.
Among the two electronics giants, Apple appears to be the main reason why Nintendo is having problems with its Nintendo Switch production. The video game firm obviously does not directly compete with the Cupertino tech giant, but it appears that both are in the market for much-needed components for their products. According to BGR, the strong demand for parts used in the iPhone 7 and upcoming iPhone 8 is already stressing the parts manufacturers. Meanwhile, Samsung is also apparently getting its supplies from the same makers.
Nintendo, Apple, and Samsung are all in the market for more NAND flash memory for storing data. The Japanese gaming company has already requested suppliers and manufacturers for parts in order to produce around 20 million Nintendo Switch units. However, industry analysts have confirmed that the shortages are felt by all sectors that require these components.
One of the suppliers for the NAND flash memory chips is Toshiba, and it has confirmed that its supply cannot keep up with the sudden demand. The tech company also projected that the current shortage might continue for the rest of the year, which leaves Nintendo, Samsung, and Apple to compete for these parts fiercely. Meanwhile, the Nintendo Switch also needs LCD displays and the small motors required for its HD Rumble feature on the Joy-Con controllers, as reported by Segment Next.
Nintendo's decision to increase its Nintendo Switch production is probably the result of the supply fiasco last year. The NES Classic Edition unexpectedly became a hot item during the holiday season, and Nintendo failed to fix its restock issues. The incident left several consumers disappointed and led to some negative press for the company. Unfortunately, despite the preemptive measures, competition for components with Apple and Samsung might continue to keep Switch stocks scarce for the time being.
