Nintendo Switch Won’t See a Price Increase – For Now

Semiconductor shortages and rising shipping costs may dig into some of Mario's profits.

As predictions point toward a drop in its net profit for the fiscal years, Nintendo says a Switch price increase isn’t a consideration “at this point.” The platform holder points to a rising cost in production and shipping as the reason behind some of its slimmer profit margins.

In an interview with Nikkei Asia (via IGN), Nintendo president Shuntaro Furukawa explained why the company has no plans to charge more for its current Switch offerings. According to Furukawa, they “want to avoid pricing people out” and explains software sales are “important to maintain the momentum” of Nintendo’s business. When your console is almost four years older and substantially less powerful than some playmates, I imagine it doesn’t take much to sour the deal in their favor.

Furukawa wouldn’t point to specific component shortages when asked about Nintendo’s ability to secure semiconductors. He paints a hopeful picture for the rest of this year’s component supply, but says “things are uncertain” beyond that. Perhaps “uncertain” is where “at this point” begins for Nintendo in talks on reevaluating price.

There's no Nintendo Switch price increase planned for now, at least.
The only Switch you may cut a bad deal on is the Splatoon model from a scalper.

Functionality and an exclusive line-up have long kept the system endeared. However, after a strong showing in 2021 financial reports, Nintendo’s operating profit dipped by 15%, with Switch sales declining. The console maker expects it’ll report a 29% drop in net profit for the fiscal year and blames some of that on the jump in production costs. When Nikkei Asia asked about absorbing rising material and shipping costs, Furukawa touched on some of Nintendo’s current predicament with the OLED model.

“For the time being, our OLED model will continue to be less profitable than our other models,” Furukawa said. “Costs have undoubtedly increased for shipping not only by air, but also by sea. We’re thinking about what we can do.”

While Furukawa maintains the Switch’s hit software will help in the struggle to meet its sales goals for the year, it’s an aging system with a saturated base. An aging system with younger, more powerful competitors (including one that’s portable) a no major upgrades outside of the OLED model. Perhaps the refusal to join Meta in its price hike is the best console-related Nintendo news I could hope for. You couldn’t get me to fork over more for a console without any upgrades.