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Nintendo Adjusts Switch 2 Price Amidst Rising Expenses
8 May
Summary
- Switch 2 price increases by $50 to $500 in the US.
- Nintendo forecasts 16.5 million Switch 2 sales for the next fiscal year.
- Nintendo's FY26 revenue surged 98.6% to 2.3 trillion yen.
Nintendo has announced a $50 price increase for its Switch 2 console in the US, bringing the new price to $500. This adjustment is attributed to rising memory costs and newly imposed US tariffs. While this hike is less significant than the recent price increase for Sony's PS5, it may impact sales given Nintendo's typically more price-sensitive audience.
Despite the price change, Nintendo sold 19.86 million Switch 2 consoles in the last fiscal year. For the upcoming full fiscal year, the company is forecasting sales of 16.5 million units. This forecast is lower than many industry analysts' expectations of over 20 million units, though Nintendo suggests it still represents solid adoption for the console's second year.
Software sales for the combined Switch and Switch 2 platforms saw a significant rise to 185.62 million units in fiscal year 2026. Popular titles like Mario Kart World and Pokemon Legends: Z-A contributed to this growth. Additionally, the Super Mario Galaxy movie has achieved over $800 million in box office revenue within its first four weeks.
Overall, Nintendo's revenue for fiscal year 2026 experienced a substantial increase of 98.6 percent, reaching 2.3 trillion yen ($14.7 billion). The company anticipates an approximately 11.4 percent drop in revenue for the next year but forecasts a slight rise in operating profit, driven by continued strong software sales. Extra costs are estimated at around 100 billion yen due to component prices and tariffs.
