Nintendo Confirms No Further Price Increases for Switch 2 Amid Chip Shortage Relief
Nintendo's president, Shuntaro Furukawa, confirmed that the company has secured sufficient RAM to prevent another price hike for the Switch 2, despite ongoing global chip shortages. The console had already increased by $50 in September 2026, and while sales and profits dipped slightly, Nintendo maintains its full-year financial outlook. The company may instead focus on boosting revenue through higher subscription fees for Switch Online.
Nintendo confirmed on November 5, 2026, that it has secured sufficient RAM to prevent another price increase for the Switch 2, despite ongoing global chip shortages affecting the broader console market. The console had already seen a $50 price hike on September 1, 2026, raising its base cost to $449.99. This followed a period of rising hardware costs across the industry: the PlayStation 5 is now $150 above its original launch price, and the Xbox Series X has increased by $300, reaching $799.99. Nintendo’s president, Shuntaro Furukawa, addressed these concerns in a statement to Reuters, emphasizing that current memory supply issues have been mitigated for now. Despite this, the company reported a 16% drop in operating profit to 73.9 billion yen ($468 million) in its latest financial quarter—below analyst expectations—due in part to lower sales volume. However, Nintendo maintained its full-year financial forecast and continued to expect sales of 16.5 million Switch 2 units. With limited blockbuster releases planned for the remainder of 2026, the company may instead focus on boosting revenue through higher subscription fees for Switch Online. Upcoming titles like The Legend of Zelda: Ocarina of Time remake (launched to critical acclaim) and Metroid Ravenous (set for January 28, 2027), along with other exclusives such as Xenoblade Genesis and Kirby and the World Beyond, are expected to drive future engagement.
The stabilization of Switch 2 pricing could temporarily ease consumer frustration amid a broader industry downturn in console sales, which fell 29% year-over-year in July 2026. While this news may help maintain customer trust in Nintendo’s pricing strategy, it does not resolve underlying supply chain vulnerabilities that continue to affect competitors. The shift toward subscription-based revenue models—such as increasing Switch Online fees—could signal a broader industry trend where hardware margins are being offset by recurring digital services, similar to how Microsoft and Sony have expanded their online ecosystems. This may deepen the divide between core gamers who value exclusive content and casual users who prioritize affordability. If Nintendo’s strategy proves successful, it could influence other publishers to rely more heavily on subscriptions rather than hardware sales, potentially reshaping long-term consumer expectations. However, the lack of major new exclusives in 2026 rai