Nintendo Reveals Switch 2 Launch in 2025. It Could Be an Exciting Year for Consumer Tech. -- Barrons.com

Dow Jones
01-17

By Angela Palumbo

Nintendo said the Switch 2 is coming in 2025, adding another potentially popular piece of consumer tech to the list of releases expected this year.

The Nintendo Switch 2 announcement, which landed Thursday, wasn't a shock to customers. The past few weeks have been filled with reports offering details about the device that the company hadn't made public. Still, the news matters because users of the original Switch have been waiting for an updated version for a while, and now they have an indication of when they will finally will get one.

Nintendo's announcement video didn't offer much detail about the new game system. What the company did show was that the device has a bigger screen than its predecessor, plus an added kickstand, and that the Joy-Con controllers are connected differently than for the original version. The Switch 2 will be able to play some original Switch games along with its own exclusive offerings, the video confirms.

Wedbush analyst Michael Pachter told Barron's that he believes new Nintendo games, such as a new Mario Kart game that was shown in the release video of the Switch 2 on Thursday, will only be available on the new device. The most recent Mario Kart became available in 2014.

When asked about this, Nintendo reiterated that Nintendo Switch 2 will play Nintendo Switch 2 exclusive games, as well as both physical and digital Nintendo Switch games, and that certain Nintendo Switch games may not be supported on, or fully compatible with, the Nintendo Switch 2. More details about the device will be available later on the Nintendo website, it said.

The company didn't give an official release date for the Switch 2, but did say that people can try out the device in April at events in New York City, Los Angeles, and Dallas.

Pachter rates Nintendo stock at Outperform and has a target of Yen10,800 ($69.54) for the price, compared with the closing level of Yen9,590 on Thursday. The company's American depositary receipts, trading over the counter under the ticker NTDOY, were trading 2.1% higher at $15.55 on Thursday afternoon.

Nintendo didn't disclose how much the Switch 2 will cost, but Pachter said one factor that could affect the price is President-elect Donald Trump's plan to impose tariffs when he takes office. Higher prices on the Switch 2 would play a role in determining how many devices are sold in the U.S., he said.

Sony Interactive Entertainment and Microsoft haven't confirmed when the next Play Station and Xbox will hit the market, an indication that 2025 could be a slower year for releases of major videogame devices. Still, there is more consumer tech that is either coming this year, or expected to be announced in the months to come.

Bloomberg reported in November that Apple is planning to announce a wall-mounted display as early as March. The system would be able to control appliances, handle videoconferencing, and use artificial intelligence to navigate apps, the report said. Apple didn't immediately respond to a request for comment.

Alphabet's Google, meanwhile, has said that devices powered with Android XR will be available in 2025. Android XR is a mixed-reality operating system that is meant for headsets and smart glasses.

And of course, generative AI is making its way into consumer hands through personal computers from Dell Technologies. Dell said at the CES trade show this month that it has redesigned its entire portfolio of PCs to make it simpler for consumers as it develops AI hardware.

Write to Angela Palumbo at angela.palumbo@dowjones.com

This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.

 

(END) Dow Jones Newswires

January 16, 2025 15:39 ET (20:39 GMT)

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