Nintendo spending billions on eShop, services expansion

Nintendo is prepared to spend up to $2.6 billion on expanding the eShop's global reach, and services like Nintendo Switch Online.

Published Mon, Nov 8 2021 2:16 PM CST   |   Updated Fri, Dec 3 2021 12:31 PM CST

Nintendo is planning to spend up to 450 billion yen on games development, R&D, services and eshop expansion, and non-gaming multimedia.

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Nintendo has made billions from the Switch's strong yearly sales, and now the company wants to reinvest that money into its future. Nintendo has allocated 450 billion yen (nearly $4 billion) to spend on significant expansion across transmedia, developing new first-party games for the Switch and upcoming hardware, and most interestingly, bringing the eShop platform and its associated services to new worldwide markets.

The bulk of the spending will be used on content and services expansion. This includes MyNintendo account expansion as well as launching the eShop to other areas of the globe, building up Switch Online services, new apps, and other initiatives that will carry on for multiple years. 100 billion yen will be spend on actual games development and 50 billion will be put towards merchandising and non-gaming deals like the new Mario movie from Illumination.

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"The new fields where we will utilize our cash can be broadly classified under tow these: building software assets and building a foundation for maintaining and expanding relationships with consumers," Nintendo said in its recent company briefing.

"These software assets include games, and we aim to expand our game development frameworks inside the Nintendo group."

Nintendo is always vague with its upcoming plans, but the company did briefly mention new hardware in the report.

Based on the wording it's very likely that a new Switch system is in development. You can find more about that here.

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Derek joined the TweakTown team in 2015 and has since reviewed and played 1000s of hours of new games. Derek is absorbed with the intersection of technology and gaming, and is always looking forward to new advancements. With over six years in games journalism under his belt, Derek aims to further engage the gaming sector while taking a peek under the tech that powers it. He hopes to one day explore the stars in No Man's Sky with the magic of VR.

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