Brittany Gates

Reporting video games and tech news from an entrepreneur angle

Nintendo Switch Price Increase Could Happen

nintendo switch price increase
Could gamers see a higher price for the Nintendo Switch console in the future? There's a possibility and Nintendo is monitoring the situation to determine if the change happens.

In the future consumers may see a Nintendo Switch price increase. That’s according to Nintendo of Japan’s president, Shuntaro Furukawa. If the console does increase from its base price of $299 then it will join the PS5, whose price increase various European countries earlier in 2022.

The Possible Reason For A Nintendo Switch Price Increase

The possible reason for a Nintendo Switch price increase is the rising costs of production. I reported on Nintendo’s latest earnings report and in that report the company said the reason it is selling less consoles into 2022 is due to the semiconductor shortage. And it’s that reason why the Switch could become more expensive in the future. Various types of electronics use those computer chips. And as more companies seek them out, the more they have to pay for them. It’s simple supply and demand.

On top of the semiconductor shortage another expense the video game console maker has to contend with his shipping costs. Although shipping costs aren’t as high as it was a year ago, it’s still expensive. And the company can’t eat all those costs. Thus, it will pass it along to the consumer, which means a more expensive console.

My Thoughts

I don’t see Nintendo raising the price on the console soon because of its age. The base model turns six years old in March 2023. And consumers only saw a minor update to the hardware with the OLED model in 2021. Usually around this time in the hardware’s life Nintendo would have decreased the console’s price but hasn’t due to increased costs of production.

What I could see Nintendo doing is increase the price of its first-party games in 2023. Software has been a profitable part of its balance sheet. I could see Nintendo deciding to keep the console’s price the same and make up for any losses on each unit sold in game purchases.

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