Nintendo told Nikkei Asia that the company was aware of the component’s shortage.

Recent reports reveal that Nintendo Switch production has fallen by 20% due to a shortage of semiconductor chips.
This information first appeared via Nikkei Asia and was confirmed by Nintendo. If you are interested in Nintendo’s hardware, you can check out our other articles at 1FIFTYFOUR.
Nintendo Switch Production Drops 20% Due to Semiconductor Shortage.
Nikkei Asia reports that the problem stems from shortages of semiconductors and other electronic components and strong demand for consoles, such as the OLED version of the Nintendo Switch. Initially, Nintendo aimed to make 30 million Nintendo Switch units by 2023, but that goal dropped to 24 million units.
By 2022, components like these will cause production bottlenecks throughout the industry. Nintendo lowered its production target because it couldn’t get enough spare parts to manufacture the Nintendo Switch.
The company is aware of this problem.
A Nintendo representative told Nikkei Asia that the company was aware of the component shortage, saying, “We are assessing the impact on our production.”
Shuntaro Furukawa (Nintendo president) previously admitted that the company couldn’t make as many Nintendo Switch units as they had hoped due to issues of uncertainty surrounding production. However, he also explained that the demand for Nintendo Switch is still robust.
By August 2021, Nintendo had sold more than 89 million Nintendo Switch units. This sale surpassed the PS3 and Xbox 360 unit records in lifetime sales. On October 8, 2021, Nintendo launched the OLED version of the Nintendo Switch and the release of Metroid Dread.
Source: Nikkei Asia