A question-and-answer session between company owners and Nintendo president Shuntaro Furukawa came out with the February money report for the quarter. They talked about memory parts getting more expensive. The cost jumps have not hurt the Switch 2 up to now, but Furukawa said that could change if it keeps going into the next business year.
Someone asked if the higher memory prices affected how much money the Switch 2 makes, and if that might mean raising the console’s price. Furukawa answered like this:
“We do not share details on single parts, but we can tell you we are talking with our partners for a long time to get steady supplies of memory. Because of that, the latest jump in memory prices did not hurt hardware money-making much in the third quarter. Also, we do not look for big effects in the fourth quarter.
“But if this price rise goes on longer than we thought and goes into the next business year and after, it could squeeze profits. If things get much worse, we will look hard at what the market is doing and act. On changing the price of Nintendo Switch 2 hardware later, we have made no choice yet. Any price change will look at all things, not just money-making, but also how many people have the console, sales patterns, and the whole market.”
Furukawa got another question on whether Nintendo will try to sell more Switch 2 consoles or focus on making money from them, with these higher part costs in mind. He said: “This jump in memory prices is faster than we planned. Usually, making money on hardware gets better when you make lots of them. We want to keep cutting costs by making a ton of Nintendo Switch 2 hardware. On not losing money on each sale, we look at profits around the world.
“There are outside things like money trade rates changing, but on the big world view, we have always tried not to sell single units for a loss. It is hard to guess changes in the outside world right now, but it is not smart to let short-term ups and downs push us too much. The second and third years for Nintendo Switch 2 matter a lot, and if we can get more consoles to people, that helps sell way more games. We will think of this in choices and look at different paths with bend.”
One owner saw that there were more Switch 2 units in stock than normal and asked if they built up extra on purpose because of higher memory costs. It was not that. The extra stock was to beat possible shortages before last year’s big holiday sales time.
“We wanted to start making them early to have enough ready when it launched,” Furukawa said. “Even after Nintendo Switch 2 came out, we grew how many we could make to handle if holiday buys went over what we guessed. From these steps, we have some parts and ready products, counted as stock. While we think there could be some hit to money-making if memory prices stay high a long time, we do not expect problems making what we plan next business year and later from not enough supplies.”
These memory price hikes come from heavy pressure on making parts for AI computer centers and the huge rise in AI tools that make things. It has led to big shifts across the business as demand for some parts shoots up. Just earlier this year, news said Nvidia might cut making gaming graphics cards by up to 40 percent in 2026 from memory shortages, but it is not all bad yet.
