Tencent Holdings Ltd says that since Nintendo launched the Switch China exclusive in China in late 2019, total sales have exceeded 1 million units!
According to an exclusive report by Hong Kong’s Reuters, the Switch China Edition console has sold a total of 1 million units in China, a staggering sales figure that even surpasses the combined sales of the Sony PlayStation 4 and Microsoft Xbox One during the same period – making Nintendo the dominant player in the Chinese console market. The Switch has made Nintendo the dominant player in the Chinese console market.
Microsoft’s Xbox entered the Chinese market in 2014, while Sony’s PS4 console came to China a year later in 2015.
The Switch was only launched in China on December 10, 2019, and was initially limited by the low number of games and the epidemic that shut down the city, but was then boosted by the recovery of the economy and the launch of the fitness game Ring Fit Adventure on August 20, 2020. The Switch’s sales were boosted by the launch of the fitness game Ring Fit Adventure on August 20, 2020.
A spokesperson from Tencent told Reuters that “the pricing of RMB 2,099 (about TWD 9,100) is a good start” and that “the games released on Nintendo Switch (exclusive to China) have been well received in the market.
As Nintendo’s distributor in China, Tencent has already released 13 games on the Switch China platform, but big titles such as the global hit The Legend of Zelda: Breath of the Wild and Animal Crossing) have not yet been approved.
Nintendo and Tencent also partnered to launch the Switch console, and only after the first game, New Super Mario U Deluxe, was approved by China’s State Administration of Press, Publication, Radio, Film and Television on October 29, 2019, did they dare to move forward with plans to launch the console. Three months after the launch of the Chinese version of the Switch, two more games, Super Mario Kart 8 Deluxe Edition and Super Mario Odyssey, were released, and then the fourth game was finally approved for the “China version” of the Switch until August 2020.
In the Chinese gaming market, the home console market is still regarded as a niche market, while local Chinese game companies mainly focus on the mobile game market. The reason is that console game sales are regulated by the Chinese government and consumers can only buy games that are approved by the relevant regulatory authorities; console games were not allowed in China until 2014 and consumers could only play them by buying parallel imports.
With the success of the Switch’s introduction to China and the upcoming launch of the next generation of home console juggernauts PS5 and Xbox Series X, research firm Niko Partners forecasts that China’s home console market will reach US$2.15 billion in 2024, double the revenue forecast for 2019.
Niko Partners analyst Daniel Ahmad said, “The Chinese market is very important to Nintendo because China has not yet established a culture of home console gaming, which represents a growth opportunity for the company.
Nintendo General is forecasting global Switch sales of 24 million units in fiscal year 2020, which ends in March 2021.