Sony vs Nintendo in Two Charts
[Opinion] Nintendo is falling behind Sony after a few solid years. Next year will be crucial to the family of Zelda and Mario
Good Morning from Taipei,
Both Sony and Nintendo reported fiscal first-half earnings recently. Sony slightly raised its full-year corporate level revenue forecast while Nintendo trimmed.
Nintendo had a few good years, thanks to its Switch and Covid-powered demand. That momentum saw it gain share in both hardware and game software with the NS ratio — Nintendo/Sony gaming revenue — peaking at 66% during the height of Covid.
The latest data shows that Sony is weathering the gaming winter better than Nintendo. This suggests the maker of Zelda and Super Mario franchises could benefit from a hardware refresh.
Thankfully for Nintendo, that seems to be underway. President Shuntaro Furukawa last week reiterated earlier news that there will be a successor to Nintendo Switch, an announcement will follow in coming months, and that existing Switch software will be compatible with the new console. If it’s released next year, as expected, then Nintendo has every chance of once again narrowing the gap on Sony.
Thanks for reading.
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