Nintendo Switch 2 Will Cost $540 After Tariffs

Because it has more games out the gate than the PS5 and more worthwhile games than the 'eck (which you're going to try to use to emulate a Switch 2 anyway)?

Reports are coming out saying that one Switch 2 costs ~$388 to make. They would still be making money even if they hadn't bumped up the price.

Welp, this thing is worse than the Wii U and it isn't even out yet....

Still not as expensive as the PS3 on launch

Weak

this is all the orange fools fault btw

They won't. There's even a PS5 bundle with Astro Bot for $450 coming soon.

okay, so $388. They're being hit with about 50% tariffs, so nintendo would have to pay 194 in tariffs, roughly. So in total it now costs nintendo $582 per switch 2 (manufacturing cost + tariff). Trusting those numbers, nintendo would be taking a $132 loss on every switch 2 if they don't up the price.

Rest in Piss Nintendo

MR BIDEN GET DOWN

WTF? Does Nintendo not have a single analyst? How do they fumble this hard??

check again dumbass

Nintendo is retarded, but I'm pretty sure no one was predicting 40% tariff on vietnam.

How long do you guys think people will forget about this whole drama and will still buy the switch 2?

It's $338 according to shipments from Vietnam. So $507 total cost. $600 price tag does not not look that unlikely if nintendo wants to keep most of its margin.

you cant stop progress leftranny

soon as it comes out

Now add the tariff to those $388, then add the 25% retailer's margin on top of that. That's not even including shipping and packaging.

There's even a PS5 bundle with Astro Bot for $450

For now.

That doesn't make a lot of sense. They are selling it for under that price in japan, and they still need to give retailers a profit margin. Based on the japan pricing the switch probably costs $280 dollars to manufacture and ship with a 20% markup from retailers. If nintendo decided to sell the console to retailers in america at the same price they are selling at japan, even with a 40% tariff the cost would be around $500

They cannot afford to lose their dominance in Japan

They can't afford to lose their install base in america either. The us is by far their largest market.

20% markup from retailers

Retailers do not get nearly that much, it's more like 4%. Nintendo are probably taking a small loss, or barely breaking even charging only $334 usd at home.

Remember just like Diablo IV and Pokemon scandals people will forget about it

Ok, but that still doesn't change the math. Assuming the price retailers pay is $334 which has a 40% tariff applied and then a 4% retail margin charged the msrp would be $487. Nintendo could still make a profit selling the console at $500

All they have to do is let us preorder and then all the news about it will be about how it's selling out and almost impossible to get. With footnotes like 'despite the high price' suggesting it's actually fairly priced.

But Nintendo gonna Nintendo and go radio silent for another month for some reason.

The solution is simple. One skew. One price, $500. Mario Kart included. $70 games. No $80 mario kart nonsense. Nintendo still makes a profit, gamers are happy, everyone wins.

You're confusing the gross margin with the actual profit. The difference between price the retailer pays for the thing and the final selling price usually ranges between 20 to 40%, it depends a lot on the thing being sold. The actual profit margin for the retailer is usually 3% or less, because has bills to pay too.

$334 is the consumer price in japan. I'm inclined to think that nintendo is taking a small loss there. If we trust the $338 figure nintendo listed (and why would they make it higher?), and factor in tariffs of 46% (the vietnamese rate, which is lower than China/Cambodia), we get 493.48. Chuck in 4% retailer margin = 513.22. Nintendo could decide to eat the cost and charge 500 bucks, but it wouldn't be profitable. I think ~$550 is more likely. We'll see.

There is no way nintendo is taking a loss on hardware and they would never publish official figures on the cost to manufacture the switch 2.

It was my understanding that the margins on hardware were very slim. If it is closer to 20%, we're even more fucked.

The 338 is (allegedly) the listed declared value from shipments from Vietnam.

Nigga I was gonna buy it anyway, another hundo is nothing

Hell ya my dude. As a functioning adult with a job and discretion income I'd rather be able to walk into a store and buy a console (so I can play Bravely Default) than have to stalk pre-orders.
If you can't afford a $540 purchase once a year or so on average, buy less games and get a second job.

buy less games

quite honestly you are right, these niggas acting as if they buy more then one game a month, and Nintendo usually only has one major first-party banger a year after launch

Nintendo has been willing to take losses on hardware before, they did it with the Wii U and 3DS. Even some Switch units were sold at a loss, specifically the airlifted ones during the shortage around launch year.

Sony is willing to sell at a loss to drive units.
Nintendo has NEVER been willing to do this outside of a few edge cases where they took a VERY small hit to profits.

They can increase the price while still taking a loss.

Into the trash

The ps5 is made in China, which is getting tariffs way worse than Vietnam. The baseline ps5 will be more expensive than switch 2.

Why would they though? This is a great opportunity to announce a Bloodbourne remaster and 1-2 new games while announcing they will NOT be raising the price. It would be a major blow to Switch 2 sales.

and why would they make it higher?

insurance reasons. nintendo products are stolen all the time. higher declared value means that if the products fall of a truck nintendo gets more money back from the shipping company.

Because Sony can only lose so much money on console sales before it's no longer profitable in the long run, might as well sell for 20 dollars and eat the costs right?

Retard.

Sony is not going to take a 104% tariff without passing that cost to the consumer, you're delusional if you believe otherwise. It would literally fuck the company harder than the PS3 ever did in a fraction of the time.

Good point. But I would've thought paying higher tariffs would motivate them more to keep the declared value down.

Nintendo will not take a loss on hardware

nintendo doesn't have a choice, the retailers will drop the prices when they're rotting on the shelf to try and recoup money and then never buy anymore

PS6 should be 1 dollar. It'd be the best selling console of all time! What has no one ever thought of this?

Doug said they didn't consider the tariffs when pricing the switch 2. Kinda dumb considering Trump said his favorite word is tariff.

Americans, how you feeling bout Trumpo rn?

Orange man said deals with Japan and Vietnam are close. I think Nintendo will keep the first batch already in the US pre tariffs at $450 and re-evaluate later if they have to increase the price

They wouldn't be paying a 104% tariff though. They'd be paying 24%, because they'll assemble them in Japan.

I know pre-order's aren't up yet but does anyone know why there isn't a listing for anything Switch 2 on Amazon yet ? youd think they would at least have a page for it by now, im pretty sure the Series X and PS5 did as well

Dude has no clue what he's doing and never did. Only way to explain both Trump recessions logically is either he's fucking stupid or he's a russian sleeper agent intentionally disrupting trust of the west. For Trump voters their reasoning is "libs mad"

pretty good, he's doing exactly what he said he was going to do

reminder: nobody lost any money with stonks, it's monopoly money until you cash out
the only people who lost anything are people that panicked because LINE MUST ALWAYS GO UP!!!!

the markets will adjust and stabilize except with better trade deals and manufacturing commitments for the US on the other side

Amazon hasn't done switch game pre orders in a while. There was some dispute a few years back with NOA and since then they've only put listings out after release.
There'll still probably be a switch 2 pre order from Amazon, but possibly not any of the games or accessories

Im still buying it

Why is it okay for other countries to impose tarrifs on US but when US does it back ts "bad"

sorry chud, you don't get to redefine the word recession and then say trump caused it
we've been in one since last year

well thats good news at least, Ill have enough by June to get the Mario Kart Bundle anyways

Manufacturing isn't coming back.

The 2020 recession is actually very easily explained by the country wide lockdowns initiated by state governments and the paycheck protection program that acted as a blank check for every business owner in the country

Trump hitting his critics where it hurts.

Are you asking me to form your argument for you?
Eh not really. Inflation dropped for like 8 straight quarters, GDP was up massively, and the stock market was strong as ever. Not much of a recession.

If these were tit for tat tariffs, then that'd be fine, but the tariffs are all based on trade deficits.

already is

manufacturing by the way isn't about muh jobs, it'll all be done by robots in the near future
it's about physically having the manufacturing done in our country so in case of an emergency like china releasing another bioweapon on the world we don't have to negotiate with hostile foreign powers to get the things we need

Are you asking me to form your argument for you?

Ah dodging the question as per usual LMAO

you're making things up

It's ok if you can't answer your own question.

Yeah I feel like if Nintendo did ignore the tariffs. Most people will buy and call people who think the $80 games being too high "ungrateful".

Nintendo doesn't have a choice

Of fucking course they don't, I've even told friends this.

The retailers will drop the prices when they're rotting on the shelf to try and recoup money and then never buy anymore

This. So much fucking THIS. It will fucking happen, you can fucking screencap this.

that explains trump wanting to kill the chips act and pushing taiwan into china's arms lol

I asked you a simple question you should have an answer for lmao
As usual you dodged it because it doesnt fit your narrative.

It's ok to believe that.

So...
When is this an official announcement?
Like...ONCE NINTENDO SAYS SO, THEN THE PRICE IS LOCKED AND OFFICIAL. I WON'T CARE UNTIL THEN.

>While DFC says it believes the $450 price is still a good value

I hate when they write bullshit like this.

It's a great price GOY!!

taiwan the nation isn't our concern, the company that manufactures them is moving production here

that's what people don't seem to understand. We aren't playing world police, let china and russia absorb all the shitters not strong enough to stand on their own feet. If you want the US to be your friend you offer us something in return otherwise go be a communist

we don't need any of them

this, also itll take like 4-8 years before manufacturing is back in the country after that console prices will return to normal, sucks but thats the shit Sony,MS,and Nintendo are gonna pull for now

A question isn't a narrative. Tell me the answer to your simple question that you asked.

Oh and 1.5 years of super unemployment where most people on said unemployment were making more money being unemployed than they were when they had a job, creating zero incentive to go back to work as Democrats dragged their feet kicking in screaming to get it extended by 9 months longer than it should have existed.

I would expect the price to be in by next Monday, they'll want to wait to make sure Trump doesn't pull back the tariffs or something.

No you tell me the answer

Seethe, cope, dial8

Sure.

well unemployment is going to be pretty common in the US in the near future due to automation, itll eventually force negotiation on a UBI-like Program because Businesses aren't going to make money if your average consumer has zero money to spend. it wont just be shit like the coof.

those reports are already based on the 34% tariff, now its 104% (or 90%)

Team Cherry only announced Silksong so they could indefinitely delay it again and blame it on trump

now this is how you win a culture war

Yeah yeah you guys have said this for 20 years.
Meanwhile every single stors that does things like self checkout gets hit in the face by the doorman falacy + rising theft and they get rid of an plans of expansion of said programs

They're not going to move console manufacturing to the US, not in 100 million years

Nintendo will honor the $499 for everyone who already registered interest for preorders on their site :)

Yeah yeah you guys have said this for 20 years.

no we haven't ?

self checkout gets hit in the face by the doorman falacy + rising theft and they get rid of an plans of expansion of said programs

retail is fucking dying anyway, just look at the amount of men in their 20s who are already NEETs, self-checkout isn't an example of this plus boomers get mad over it, even the most hardcore Capitalist Republican is going to have to admit to himself people cannot find work in the country

retail is fucking dying anyway

It's not.
Some types of retail are, yes, but others I assure you are still going stronger than they really should be going lmao
Retail banking (and by proxy lending / financial advising) are still ridiculously strong and have permanent staying power due to online skepticism.

the US needs the world far more than the world needs the US. I don't understand why you'd so willingly throw away your global dominance, but it'd serve you right.

While DFC says

Which DFC?

It doesn't really matter if you do because consoomers are doing it, especially Japs. SO many of them don't care about price increases at all because they've been conditioned for years paying out the ass with gachaslop, and normalfags likewise with MTX in whatever FOTM shooter is most popular.
I'm not getting this shit but I still know it's going to sell very well

Only some.

Anons, I live in Finland and I want to build a new gaming PC. I'm eyeing 5070 ti. Will its price increase soon?

PC games going up for tariff reasons

when they're digital

They do realize tariffs are only for port shipments, right? They're just trying to come up with an excuse to increase their prices.

How much does your country spend on its military and anti terrorism effort
I promise you, if you live in a 1st world nation your cost of living and way of life is subsidized by America and its tax payers