Nintendo announces Switch 2 price hike amid rising hardware costs

Nintendo has confirmed that it is raising the price of the Switch 2 in the US, Canada, Japan, and Europe following concerns over its profitability.

The details:

• Earlier this week, Bloomberg reported that Nintendo’s investors were expected to push for a price increase for the Switch 2 during its next earnings call due to declining profitability as a result of rising hardware costs. Higher manufacturing costs have left the company in a difficult position, forcing it to either rely on software to drive sales at the current price point or up the console’s price tag to compensate.
• Nintendo has now announced that it has opted for the latter, raising the system's recommended retail price in various markets. Starting September 1, the Switch 2 will increase to the following:
  • $499.99 from $449.99 in the US
  • $679.99 from $629.99 in Canada
  • €499.99 from €469.99 in Europe
• Meanwhile, larger changes are taking place in Japan, with all Nintendo systems costing around 10,000 JPY more beginning May 25. For instance, the Switch 2's price will rise from ¥49,980 to ¥59,980.
• "In light of changes in market conditions, and after considering the global business outlook, Nintendo will revise the manufacturer's suggested retail prices (MSRP) of the Nintendo Switch 2 system and Nintendo Switch systems," the company said. "We sincerely apologize for the impact these price revisions may have on our customers and other stakeholders, and we deeply appreciate your understanding."