Due to the parts shortage, production costs are soaring, but if you’re worried about a potential price increase for the Nintendo Switch, that’s good news.
Regarding the concerns related to the Nintendo Switch, Nintendo CEO Shuntaro Furukawa recently spoke Nikkei (opens in a new tab). Telling the publication that “the problem is that demand exceeds supply,” Furukawa was asked if Nintendo would consider price increases for its popular hybrid console. Fortunately, he has ruled out that option at the moment.
“We are not considering it at this point for two reasons. In order to offer exceptional entertainment to a wide range of customers, we want to avoid valuing people, ”confirmed Nintendo’s CEO.
Pointing out that Nintendo has sold “over 100 million Switch units to date,” Furukawa emphasizes that it is important to “keep pace with our overall business.” However, he wouldn’t be convinced if Nintendo could achieve its sales target on the Nintendo Switch this fiscal year.
This is not surprising given the ongoing global chip shortage, which contributed to a 23% drop in console sales in the first quarter of 2022. However, Furukawa believes there will be a boost with new games like Splatoon 3 and Pokémon Scarlet and Violet, which will be launched in September this year. and November respectively.
Since its launch five years ago, Nintendo has largely resisted the price change for its Switch consoles. The only real drop was in the original variant when the Nintendo Switch OLED model was launched and Nintendo cut its RRP by £ 20 / $ 25. That said, as of 2019, it offers a cheaper Nintendo Switch Lite console that removes the docking feature to provide handheld-only support.
Still, the price question was raised thanks to Meta’s recent price hike for the Oculus Quest 2 VR headsets. Raising $ 100 / £ 100, Meta blamed the rising costs, claiming that official blog entry (opens in a new tab)“By adjusting the price of Quest 2, we can continue to increase our investment in ground-breaking research and development of new products that are pushing the VR industry to new heights.”
Even with the Beat Saber bundled, it’s a move that has received considerable criticism, and some believe it is now the worst time to buy Quest 2. Sony and Microsoft have yet to comment on similar price increases, so I’m relieved to see Nintendo explain their views. Of course, saying “at this point” offers the possibility of later growth, but at least it is not immediately apparent on the cards.