Nintendo’s latest earnings report is out and sales of the Switch console have plummeted after the Switch 2 rumors and announcement, exactly as you’d expect. Switch sales are now projected to hit 11.0 million for the year ending March, down from 12.5 million units forecasted.

Furukawa says that “dedicated software” is important with the launch of a console, which could indicate that Nintendo won’t have many new games for both the original Switch

Japan's Nintendo cut its full-year sales Switch forecast by 12% to 11 million units as the aging console loses momentum ahead of the launch of a successor device this year. Nintendo remains dependent on its console business even as it has opened stores and its roster of characters feature in theme parks and film.

At 150 million units sold, the Switch is close to overtaking the DS as Nintendo’s best-selling console.

Japanese video game giant Nintendo on Tuesday cut its annual net profit forecast after hardware and software sales for its Switch console fell in the first three quarters.