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Sharp Gets Into The Gaming Console Market In Partnership With Nintendo

Sharp has got into the gaming console market in partnership with Nintendo.

The two Japanese Companies have cuddled up to each other with Sharp now assembling Switch gaming consoles in another blow to Chinese manufacturers.

The move is design to stabilise production for the much in demand console and hedge against U.S.-China trade tensions.

Nintendo has struggled to produce enough units for most of this year as the hit game Animal Crossing: New Horizons and stuck-at-home consumers fuelled demand.

While the coronavirus outbreak hurt production early on, Nintendo President Shuntaro Furukawa said this month that output has returned to normal and the Switch is now made in Malaysia and Vietnam.

According to Bloomberg the Malaysia factory is owned by Sharp a Company that was acquired by Foxconn a Taiwanese conglomerate.

Foxconn helped connect the two Japanese companies.

Nintendo’s Furukawa has said those assembly lines aren’t yet running at full capacity and the first batch from them is about to hit store shelves soon.

A Sharp representative declined to comment, while a Nintendo spokesman declined to confirm any details beyond the president’s earlier public comments.

Switch sales momentum kept up in October, according to the Nintendo president, and the hotly anticipated debuts of new consoles from Sony Corp. and Microsoft Corp. in November were marred by severely limited launch-day supplies. Nintendo is expected to raise its fiscal-year sales target from the current 24 million when its next reports quarterly results, with David Gibson, chief investment adviser at Astris Advisory Japan, forecasting 26.4 million total sales for the period ending March 31.

Released in 2017, the Switch has sold 68.3 million units as of Sept. 30 and its lifetime sales are on track to exceed 100 million units. The company has expressed confidence in the beefed-up games line-up it has in store for 2021. Bloomberg News has also reported Nintendo plans an upgraded hardware revision, likely with 4K graphics support, to help extend the Switch’s life cycle.

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