Nintendo talks mergers and acquisitions as it hints at Switch 2

The president of Nintendo has made a rare reference to their ‘next console’ as he talks about the need to increase developer numbers.

It may be an open secret to everyone else, but Nintendo has barely ever acknowledged that they have a new console in development and are, probably, going to release it next year.

A new interview with Nintendo president Shuntaro Furukawa tries to skate around the issue, with Nintendo’s boss insisting that their focus, until the end of the next financial year in March, is on the current Switch, not what he refers to as the ‘next console.’

Rather than hardware, though, Furukawa’s most interesting comments relate to possible acquisitions, which he admits may be necessary to increase developer capacity ahead of the new console’s launch.

‘Game development is becoming more sophisticated. The development resources required for single software continue to increase, so it is essential to strengthen the development organisation,’ said Furukawa.

‘More than simply increasing the number of employees, we must be able to develop software that meets Nintendo’s expectations. To this end, we decided that instead of allocating resources outside the company, it is necessary to reinforce our internal development resources, which have a deep understanding of the creative DNA and the Nintendo brand.’

However, according to a translation on ResetEra: ‘We do not reject the use of M&A [mergers and acquisitions]. However, if an organisation that does not understand Nintendo’s creative approach is brought into the fold, it may not produce the expected results. On the other hand, for companies with a similar development approach, we can form various partnerships with them, not limited to M&A.

Even though it could easily have afforded it, Nintendo has bought very few companies over the years, usually limiting itself to medium-sized developers like Monolith Soft or Next Level Games.

Furukawa’s comments do not rule out buying larger publishers but it’s still very hard to imagine Nintendo making any large purchases on the scale of Microsoft or Sony. And even if they did, the implication is it would only be a fellow Japanese publisher.

When asked whether the life cycle of the Switch could be extended further, Furukawa insisted that Nintendo is still working on new games after March 2024, but that the focus will be to ‘maintain the momentum’ of Zelda and The Super Mario Bros. Movie.

That was almost certainly a reference solely to Tears Of The Kingdom, and not any new title, which only reinforces the idea that the Switch is in its final phase.

Nintendo has already announced a few games for release after March 2024, but they’re only minor titles, like the remaster of Luigi’s Mansion 2. Princess Peach: Showtime! on March 22 is currently the last entirely new first party title scheduled for the system.

That’s no guarantee that the Switch 2, or whatever it may be called, will be out in autumn 2024 but it is beginning to seem increasingly likely.

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