Nintendo Addresses Rising RAM Costs Amid Concerns Over Potential Switch 2 Price Hike

Nintendo is keeping a close eye on the effects of tariffs and the rising costs of RAM, as the surge in AI-driven demand is pushing computing expenses higher globally.

These insights came from a rare interview with Shuntaro Furukawa, the president of Nintendo, who spoke with a local outlet. He mentioned that while the potential for raising the price of the Nintendo Switch 2 due to future costs is a possibility, it remains purely hypothetical at this stage. Furukawa acknowledged that the increasing demand for RAM in AI data centers and the resulting scarcity could pose challenges down the line.

When discussing the current hurdles in maintaining a better profit margin for the Switch 2 compared to its predecessor, Furukawa stated, “Hardware profitability depends on factors like component procurement conditions, cost reductions through mass production, and the impact of exchange rates and tariffs.”

Previously, he assured investors that the pricing for the Switch 2 was stable for the time being, barring any major trade disputes. “While we are aware that the costs of various materials are rising, we also anticipate some areas where cost reduction may be achieved for Nintendo Switch 2 through ongoing mass production efforts,” he noted last November.

The escalating prices of PC components are not just a concern for gaming companies like Nintendo; they also affect everyday consumers. Acquiring RAM and graphics cards has become increasingly expensive and difficult. Reports suggest that NVIDIA is even considering re-releasing its older RTX 3060 graphics cards to meet the high demand.

In the interview, Furukawa also revealed that Nintendo had anticipated a negative impact from tariffs last year, which ended up costing the company tens of millions in the first half. “This is a crucial period for our game business as we promote the adoption of new hardware and maintain the momentum of our platforms. We are working on this while carefully considering the situation,” he explained.

As Nintendo monitors these rising costs and market shifts, it has already taken action over the past year. In August 2025, the company raised the prices of its original Switch console, with the U.S. price for the nearly decade-old model increasing from $299 to $339, the Switch OLED from $349 to $399, and the Switch Lite from $199 to $229.

At this point, it remains uncertain what decisions Nintendo will make in response to the fluctuating RAM costs and tariffs. However, President Furukawa stated, “While it’s difficult to accurately gauge the future impact, our basic policy is to recognize tariffs as a cost and pass them on to prices as much as possible, not just in the US.”