Index  ›  business  ›  TechRadar
business · TechRadar ↗

As Sony plans to end the production of discs, Nintendo says 38.5% of its sales come from physical copies

TechRadar Published Aug 7, 2026 Reviewed Aug 7, 2026 ✓ Reviewed by citations.press editors
As Sony plans to end the production of discs, Nintendo says 38.5% of its sales come from physical copies
Nintendo reported that 38.5% of its sales in the first quarter of fiscal year ending March 2027 were from physical copies.
38.5 % · Nintendo sales Nintendo, company
Nintendo reported that 61.5% of its sales in the first quarter of fiscal year ending March 2027 were from digital purchases.
61.5 % · Nintendo sales Nintendo, company
Nintendo earned 132.7 billion yen from digital sales alone in the previous quarter.
132.7 yen · Nintendo digital sales revenue Nintendo, company
Nintendo's digital sales increased by 90% year-on-year in the previous quarter.
90 % · Nintendo digital sales Nintendo, company
The proportion of Nintendo's digital sales increased by 2.2% compared to the same time last year.
2.2 % · Nintendo digital sales proportion Nintendo, company
Nintendo's Switch 2 software sales increased by 9.2% year-on-year to 9.46 million units.
9.2 % · Switch 2 software sales9.46 million units · Switch 2 software sales Nintendo, company
Nintendo's original Switch software sales increased by 38.6% year-on-year to 33.81 million units.
38.6 % · original Switch software sales33.81 million units · original Switch software sales Nintendo, company
Sony announced it will retire the production of game discs by January 2028.
2028 year · Sony game disc production Sony, company
Capcom said that 90% of its unit sales are digital, making it unlikely to be significantly impacted by the death of physical games.
90 % · Capcom unit sales Capcom, company

While Sony commits to ending the production of game discs, Nintendo has reported that almost 40% of its software sales are physical.

That's according to Nintendo's latest financial report for the first quarter of fiscal year ending March 2027, which confirms that between March 30 and June 30, 2026, 61.5% of Nintendo's sales were from digital purchases, meaning 38.5% came from physical sales.

The Mario maker reports that in the previous quarter, it earned 132.7 billion yen from digital sales alone, a 90% year-on-year increase and a 2.2% increase in the proportion of digital sales compared to the same time last year.

Software sales for the Switch 2 also increased by 9.2% year-on-year to 9.46 million units, and original Switch software increased by 38.6% year-on-year to 33.81 million units.

However, Nintendo confirmed the 61.5% digital sales include other software, such as Switch Online subscriptions, Switch 2 Edition upgrades, download-only titles, and downloadable content (DLC) purchases, which would boost digital sales. It also doesn't include digital copies of Mario Kart World, that would be bundled with a console.

Meanwhile, for physical units, net sales for software bundled with hardware are classified as hardware sales.

"As a result, although bundled software such as Mario Kart World is included in the number of software units sold, the corresponding revenue is not recognized as software sales or digital sales," Nintendo said.

Nevertheless, the ratio is significant, and 38.5% in physical sales suggests that Nintendo doesn't plan to abandon boxed games any time soon, unlike Sony.

The PlayStation company shared its plan to retire the production of game discs by January 2028 last month, and has recently confirmed that it is "cautiously" moving forward with its decision despite the backlash (via IGN).

Although some game companies are willing to fight to keep physical games alive, Capcom has recently stated it's unlikely to be significantly impacted by the death of physical games, because 90% of its unit sales are digital.

Follow TechRadar on Google News and add us as a preferred source to get our expert news, reviews, and opinion in your feeds. Make sure to click the Follow button!

➡️ Read our full guide to the best gaming consoles
1. Best overall:
PlayStation 5 Slim
2. Best budget:
Xbox Series S
3. Best handheld:
Nintendo Switch 2
4. Most powerful:
PlayStation 5 Pro

Demi is a freelance games journalist who helps cover gaming news at TechRadar. She's been a games writer for five years and has written for outlets such as GameSpot, NME, and GamesRadar, covering news, features, and reviews. Outside of writing, she plays a lot of RPGs and talks far too much about Star Wars on X.

Please logout and then login again, you will then be prompted to enter your display name.

This article was originally published by TechRadar ↗. citations.press indexes the source-backed facts above and links to the original. Something wrong? Corrections policy · Report an error