Summary
Last week,Nintendo halted Switch 2 pre-orders in the USindefinitely to “assess the potential impact of tariffs”, leading to speculation that the already controversial price tag might increase as a result. Nintendo of America president Doug Bowser later clarified that the Trump administration’s earliertariffs “were not factored into the price”, only strengthening this idea. But analysts aren’t convinced.
“We are expecting Nintendo to stick with the $450 price point,” David Cole, the founder of games industry marketing and research firm DFC Intelligence, said in an interview withEurogamer. “And we believe that price point was reached with the threat of tariffs already looming.”
We believe that price point was reached with the threat of tariffs already looming.
Instead, Cole speculates that the new tariffs will impact the number of consoles produced, rather than their price, as DFC expects the new trade tariffs (which include a 24 percent charge on Japanese goods) to cause a steep drop in sales. “Nintendo is very conservative,” Cole said. “They don’t like to take big risks on having surplus inventory. So they may take a bit of a wait and see approach given some of the current unknowns.”
Nintendo Might Have Already Accounted For The Next Two Years In The Switch 2’s Price
While Cole believes that the Switch 2 will remain at $450 ahead of its June 5 launch, DFC did speculate that there could be a 20 percent price increase over the next couple of years for all hardware. However, it toldForbesin a follow-up statement that it believes “much of the 20 [percent] increase was already baked into the $450 price” and that if Nintendodoesincrease the cost, it does not expect a 20 percent hike.
With the $450 price in mind, however, DFC lowered its sales forecast from 17 million units sold in 2025 to 15 million. But even this sharp drop would make the Switch 2’s launch a record-breaking one.
If prices increase substantially due to tariffs, a significant portion of prospective buyers are likely to hold back on a purchase until prices come down.
15 million units sold would make it the “fastest-selling gaming console to date, outpacing its predecessor”. Despite the tariffs, and the looming threat of them worsening, DFC believes that “the upper limit for hardware sales… is enormous” and that the Switch 2 “has the ability to capture an even larger share than the original Switch.
“Historically seen as a niche or standalone ecosystem, Nintendo is now poised to engage more directly with the broader competitive landscape dominated by Sony and Microsoft,” it stated. “This shift could mark a transformational moment for the video game industry”.
With the Switch 2 releasing in just two months, we’ll find out soon enough if it will remain at $450, or increase as a direct response to the tariffs.
