Today, Bloomberg's Tech In Depth newsletter covers a thorny subject: should Nintendo raise the Switch 2 pricing in response to the current economic environment and the ongoing memory shortage?
Sony did, across its entire PlayStation ecosystem (PS5, PS5 Slim, PS5 Pro, and PlayStation Portal). Nintendo, on the other hand, has maintained steadfast so far, but Bloomberg points out that investors aren't quite happy with this strategy. The company's stock has been on a steady decline for five consecutive months, marking the longest sustained decline in Nintendo's stock since 2016. This is despite the Nintendo Switch 2 continuing to sell extremely well, not to mention the success of a game like Pokémon Pokopia (2.2 million units sold in the first four days) and of a film like The Super Mario Galaxy Movie, which has topped the global box office for 2026 and is nearing 900 million gross.
So, what's the issue? Well, Bloomberg says investors are "deeply concerned" that the Nintendo Switch 2 is not very profitable at its current $450 price. On Friday, during the company's latest quarterly earnings call, Nintendo president Shuntaro Furukawa is expected to address the pricing issue once again.
Bloomberg asked a few key analysts for their take on the company's strategy, and opinions are mixed. Toyo Research Advice analyst Hideki Yasuda believes Nintendo's stock will continue to go down until the console's price gets a hike:
The market is punishing stocks that lack inflation-hedging power.
Wedbush Securities analyst Michael Pachter, on the other hand, reckons it would be foolish of them to raise the price now.
I think they would be foolish to raise prices. The consumer is hurting — people are paying more for gasoline and food, and when prices go up, entertainment budgets are one of the first things to go.
Pelham Smithers Associates, an independent research provider covering the Japanese stock market, shared a note saying that Nintendo simply cannot afford to make a mistake either way.
If they make a mistake on pricing, whichever way it goes, we run into the Wii U problem — the situation will just get worse and worse.
Given Nintendo's historical caution, I wouldn't rule out a wait-and-see approach, possibly deferring the decision to a later date. We'll know in a couple of days if that's their choice.
About the author: With over two decades of experience in gaming journalism, Alessio Palumbo has led the gaming vertical at Wccftech since August 2015. He started working at a young age for Italian websites like Everyeye.it, Gamestar.it, Nextgame.it, and Multiplayer.it before kickstarting the indie English-language publication Worlds Factory as its founder and Editor in Chief. In the last decade, he has coordinated the overall output of Wccftech's gaming section, managed PR relations, assigned reviews, produced daily news coverage, edited gaming content as needed, and delivered game reviews. Arguably, his trademark content is the long series of exclusive developer interviews that have been cited by Wikipedia and by the biggest news media and gaming publications. His passion for technology also makes him knowledgeable when it comes to gaming hardware and tech. His favorite genres include RPGs, MMORPGs, and action/adventure games.
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