
Nintendo Fears Tariffs Will Impact Switch 2 Sales: “Consumers Have Less Disposable Income for Gaming”
Unlike
Sony
and
Microsoft
,
Nintendo
has specifically addressed the topic of
Donald Trump
‘ s tariffs might impact the release of
Switch 2
.
Even though it’s pretty clear why Sony and Microsoft have decided to increase the price of their gaming consoles –
the new tariffs
introduced by U.S. President Donald Trump – neither firm has acknowledged this, and they’ve both attempted to dance around the topic.
Sony attributed the PlayStation 5’s issues to “high inflation and volatile exchange rates.”
second price hike
(impacting only the UK, Europe, Australia, and New Zealand) whereas
Microsoft said
Adverse ‘market conditions’ and higher development expenses led to the decision of increasing the prices for both Xbox hardware and games moving forward.
However, Nintendo has been more open regarding how these tariffs might impact its operations, even stating that they could result in a ‘tens-of-billions-of-yen effect’ on their profit margins.
To provide some perspective, 10 billion yen amounts to slightly more than £50 million, which is merely the lowest estimate of what Nintendo anticipates losing.
This information originates from Nintendo President Shuntaro Furukawa and is included in the company’s financial outcomes for the 2025 fiscal year, which spans from April 2024 through March 2025.
According to
Japanese outlet Yomiuri Shimbun
(as translated by
IGN
Furukawa specifically highlighted the tariffs as one of the ‘associated challenges’ that could significantly affect Nintendo’s profitability, particularly with the launch of their new console, the Nintendo Switch 2, scheduled for this year.
Furukawa stated that if the costs of essential items such as food rise due to tariffs, individuals would have less disposable income for purchasing gaming systems.
He admitted that raising the price of the Switch 2 due to tariffs could potentially ‘reduce sales.’ However, it remains uncertain whether such an increase would be implemented globally or solely within the U.S.
Email
gamecentral@Farovint.co.uk
, please share your thoughts in the comments section below,
follow us on Twitter
, and
sign-up to our newsletter
.
To make submitting Inbox letters and Reader’s Features simpler, bypassing the need for an email, simply utilize ours.
Submit Stuff page here
.
To find similar stories,
check our Gaming page
.
Share this content:
Post Comment