Nintendo Increases Switch 2 Prices Amid Chip Crisis
Nintendo is raising Switch 2 prices as chip crisis bites
Engadget
Image: Engadget
Nintendo has announced a $50 price increase for its Switch 2 console, raising the price to $500 in the US due to higher memory costs and tariffs. Despite selling nearly 20 million units in the past three quarters, the company forecasts a drop in sales to 16.5 million for the next fiscal year.
- 01Switch 2 price raised to $500 in the US, a $50 increase.
- 02Nintendo shipped 2.49 million Switch 2s this quarter.
- 03Sales forecast for next fiscal year is 16.5 million units, down from expectations of over 20 million.
- 04Software sales increased significantly, with 185.62 million units sold this year.
- 05Nintendo's fiscal year revenue rose 98.6% to $14.7 billion.
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Nintendo has raised the price of its Switch 2 console by $50, bringing it to $500 in the United States. This decision comes as the company grapples with rising memory costs and tariffs. In its latest earnings report, Nintendo revealed it shipped 2.49 million Switch 2 consoles this quarter, contributing to a total of 19.86 million units sold in the past three quarters. However, the company has adjusted its sales forecast for the next fiscal year, predicting only 16.5 million units will be sold, which is significantly lower than analysts' expectations of over 20 million. Despite this, Nintendo considers the forecast a solid adoption rate for the Switch 2 in its second year. The company also reported a substantial increase in software sales, with 185.62 million units sold this year compared to 155.41 million the previous year. Notable titles include Mario Kart World and Pokemon Legends: Z-A. Overall, Nintendo's revenue for the 2026 fiscal year surged by 98.6% to 2.3 trillion yen (approximately $14.7 billion), although it anticipates a decline in revenue next year due to ongoing component price increases.
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The price increase may affect sales, particularly among Nintendo's younger, price-sensitive audience, potentially limiting access to the console.
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