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Digitimes: Supply chain players gear up for new Nintendo console

DieH@rd

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Digitimes was a semi-regular source of supply chain news during pre-relese of PS4 and Xbone. Now they are reporting [via anonymous sources] that Foxconn is getting ready for mid-2016 manufacture of initial batch of next Nintendo console which would be slated for release shortly after. Numbers that are mentioned are VERY aggressive, which either points to very cheap priced home console or more likely a new handheld.

Japan-based Nintendo is planning to launch its next-generation games console in 2016 and has recently asked its supply chain partners to start pilot production in October, at the latest. The console will be manufactured by Foxconn Electronics (Hon Hai Precision Industry), but Pegatron Technology is aggressively trying to snatch some of the orders, according to sources familiar to the plan.

Pegatron and Foxconn both declined to comment.

Nintendo in March announced its plan of releasing Nintendo NX in 2016 and has started visiting its supply chain partners recently. The orders are expected to be finalized in February or March 2016 and mass production will start in May or June 2016, while the console's official launch may take place around July, the sources said.

Nintendo reportedly is looking to ship 20 million Nintendo NX in the first year. The shipment volume of Wii U is estimated at two million units in 2015, according to Digitimes Research.

Component suppliers such as Foxconn Technology, Macronix, PixArt Imaging, Coxon Precise Industrial, Nishoku Technology, Delta Electronics, Lingsen Precision Industries and Jentech, are also expected to land orders from Nintendo for the new console, the sources added.
http://www.digitimes.com/news/a20150702PD204.html

Push me from the top of Foxcon building if old.
into web :)


IMO, 20M is very very ambitious target for initial order. Sony reportedly purchased only 10M consoles before launch, and MS 7-8M. Plus July launch sounds unrealistic.
 

Oregano

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Mar 13, 2013
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Macaronix makes cartridges for 3DS so cartridges confirmed?

A July release would be way early though.
 

TheMoon

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Jul 1, 2014
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Nintendo in March announced its plan of releasing Nintendo NX in 2016

Errr ... yea no ...they did no such thing. They announced plans to "reveal" the thing in 2016. Nothing else.

Pff ..facts. Who cares, right?
 

L~A

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Jan 19, 2013
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Mid-July launch and 20 million shipments in the first year

Nintendo is either insane or super confident

Or those numbers are bullshit. Quite simply.

But yeah, the next handheld is definitely coming out next year. The real question is when, and this rumour really doesn't provide any substantial proof.

Macaronix makes cartridges for 3DS so cartridges confirmed?

A July release would be way early though.

You hungry, mate? ;)
 

Cosmonaut X

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Not sure why they're still talking about home consoles - pretty sure this is gearing up for the release of a new handheld...

EDIT:

Also, love that the manufacturer names sound so much like G1 Transformers :)

PEGATRON!
 

AniHawk

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Jun 7, 2004
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Numbers that are mentioned are VERY aggressive, which either points to very cheap priced home console or more likely a new handheld.

very likely both.

20 million units and the july launch is what makes this sound insane. is the site reputable?
 

Zeyphersan

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Jun 14, 2013
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Or those numbers are bullshit. Quite simply.

But yeah, the next handheld is definitely coming out next year. The real question is when, and this rumour really doesn't provide any substantial proof.

It's obviously bullshit. I was working in the alternate reality this thread created. Life is more fun that way
 

Teknoman

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I need to go to bed, read that as Supply Chan.

On that note, how long has the 3DS been out? Feels like its at least got a couple more years in it. I cant see a new Nintendo system of any kind at least till 2017.
 

Oregano

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very likely both.

20 million units and the july launch is what makes this sound insane. is the site reputable?

Not just the actual timing but only a month or two of production before release? That sounds way too short for me.
 

AniHawk

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If they can produce 20 million in half a year, it sounds more like a handheld.

15m handhelds worldwide and 5m consoles worldwide for their new 'platform' wouldn't be too much of a stretch, even in the smaller dedicated hardware space. it would pretty much need to be in the earlier part of the fiscal year to reach those numbers though.
 

antonz

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July would seem awfully early if mass production starts in say May. August or September would be more likely based on past windows on mass production starting.

That said with Nintendo can never tell.

Not just the actual timing but only a month or two of production before release? That sounds way too short for me.

2 Months is enough time for production based on history especially if its using tech that is not in risk of low yields. Nintendo for instance got its first delivery of CPUs for the Wii September 1st 2006 and was on shelves November 19th
 
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Nintendo reportedly is looking to ship 20 million Nintendo NX in the first year.

 

Dryk

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Not sure why they're still talking about home consoles - pretty sure this is gearing up for the release of a new handheld...
These numbers would make more sense if they're planning on releasing the new home console and handheld at the same time. That's a pretty big risk but if they're banking on a cross-platform strategy it might be necessary.
 

DieH@rd

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Dec 9, 2006
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Not just the actual timing but only a month or two of production before release? That sounds way too short for me.

That is not strange. If I remember correctly full scale PS4 manufacture started in ~ early September for mid-November launch.
 

AniHawk

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Not just the actual timing but only a month or two of production before release? That sounds way too short for me.

yeah i really don't know about that. games would need to be finished for the machine in early may at the absolute latest.
 

DieH@rd

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Dec 9, 2006
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20M shipment in 12 months of sales is achievable for a cheap and desirable product that has lots of games and PERFECT marketing. But 20M in 2016.... yeah that is not happening. If they mess up even with one thing [price, games, form factor, marketing], they are screwed again.
 

ChasingComets

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Mid-July launch and 20 million shipments in the first year

Nintendo is either insane or super confident

I was gonna say this that yea, July launch and 20 million target seems like a longshot, unless they really have something miraculous planned for this.

Echoing the sentiment that this is probably going to be a cross-platform launch, but even if they price it at the same point as the 3DS and Wii U, those are still some crazy optimistic numbers.
 

Cosmonaut X

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These numbers would make more sense if they're planning on releasing the new home console and handheld at the same time. That's a pretty big risk but if they're banking on a cross-platform strategy it might be necessary.

...or if they're looking at releasing multiple configs of the handheld hardware? Perhaps a cut-down, budget NX handheld, aggressively-priced, and a higher-end, higher-priced NX handheld launched at the same time, both running the same software (think high-end tablet vs budget tablet, both running Android).

I still expect Wii U to see out 2016, with a NX Home variant replacing it in 2017.
 

Mister Sloane

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Yes site is reputable but this news article only has info from anonymous sources.

In the past, the site ran a lot of stories about Apple that didn't turn out to be true. I think the accuracy has improved somewhat with Apple-related news but some of the stories were impossible to verify.
 

Nibel

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Oct 18, 2011
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First off, that 20 million number is way too high and unrealistic, even if it was a handheld or a handheld/console mix.

Then the launch date: I don't think they will launch home consoles during summer. Did anybody do that?

That being said: I'm kinda convinced that they need to release NX and the necessary device in 2016.
 

Mpl90

Two copies sold? That's not a bomb guys, stop trolling!!!
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Probably the timing is incorrect. Or better, the fact it'd come out in July. Holiday 2016 is much more realistic. As well as the amount of units produced...that's waaay too much for the first few months. What are they preparing for the launch, in the case? Zelda, Pokemon, KI:U2, SSB4 Turbo, MH(N)X, Dynasty Warriors Chronicles, Yokai Watch 4, a brand new IP fro Ubisoft and,above all, a new Trauma Center all together?!?
 

DieH@rd

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Dec 9, 2006
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I'm sad that there are zero rumors of AMD being key partner in production of next Nintendo console. Nintendo needs to get their core hardware into modern times. It's way past time to move away from Gamecube CPU architecture.
 

roytheone

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Mid-July launch and 20 million shipments in the first year

Nintendo is either insane or super confident

Nintendo is always insane and super confident. That gave us some amazing stuff and some....... Less great things.

Anyway, sounds like a handheld to me, and with my vita becoming a legacy platform, I am defiantly interested in a 3DS successor.
 

Palette Swap

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That place there.
20M shipment in 12 months of sales is achievable for a cheap and desirable product that has lots of games and PERFECT marketing. But 20M in 2016.... yeah that is not happening. If they mess up even with one thing [price, games, form factor, marketing], they are screwed again.
Meanwhile, they would be immobilizing money for produced and stocked but unsold units. That's a huge gamble no CFO would take given their recent history.

Or this console is Amiibos lol.
 

Mpl90

Two copies sold? That's not a bomb guys, stop trolling!!!
Mar 10, 2011
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I'm sad that there are zero rumors of AMD being key partner in production of next Nintendo console. Nintendo needs to get their core hardware into modern times. It's way past time to move away from Gamecube CPU architecture.

Didn't we have articles about AMD signing a contract with a console maker already, a few months ago?
 

Jackano

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July is also totally unrealistic as we can assume the last feedback they will consider will be E3 reception.

Even if Nintendo visiting supply chains atm is plausible, the rest is BS.
 

FZZ

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Jun 5, 2013
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NX really is a tablet isn't it?

Only way this would make any feasible sense.