Nintendo has joined Microsoft in responding PlayStation 5 price hike surprise this weekand says there are “no plans” to increase the cost of the Nintendo Switch.
In a statement issued to Eurogamer this morning, Nintendo confirmed that it has “no plans to increase the trading price of its hardware”.
The response goes further than that Microsoft, which last night recorded Sony’s dramatic decision by simply stating it wants to “offer our fans a great selection of games”, before reiterating the launch price point of the Xbox Series X and S.
Nintendo’s full statement includes a quote from company president Shuntaro Furukawa, which was given during the June AGM, and later reaffirms that Nintendo’s pricing remains for now.
Here’s the statement in full:
“As our president Mr Furukawa said at the 82nd Annual General Meeting of Shareholders in June:
“‘While we cannot comment on pricing strategies, we currently have no plans to change the prices of our hardware due to inflation or increased procurement costs in individual countries. We will determine future pricing strategies through careful and ongoing consideration.’
“While the final price for consumers is always determined by the retailer, as Furukawa said, Nintendo has no plans to increase the selling price of its hardware.”
Yesterday, Sony surprised the gaming industry by announcing an unprecedented price increase for the base model PlayStation 5 and the disc-less version, which will now cost £30 more in the UK and €50 more in Europe.
Elsewhere around the world, Japan, China, Australia, Mexico and Canada will also see price increases. But the US will not see any price hikes at this time.
PlayStation boss Jim Ryan blamed rising prices on “high global inflation rates, as well as adverse currency trends, impacting consumers and creating pressure on many industries” and said it was a “difficult decision”.
The move was widely criticized, especially at a time when many are facing mounting economic hardship.
Speaking to Eurogamer, analyst David Gibson of MST Financial explained that Sony’s decision was due to the cost of foreign exchange.
“Sony will budget at a certain cross rate versus its cost in dollars,” Gibson explains, “but the pound and other currencies are all moving due to rising interest rates.
“Yes, shipping rates are up but the semiconductor market is improving and DRAM prices are falling.
“The fact Sony hasn’t changed US prices shows how much of the forex situation is versus costs in dollars, and not inflation.”
However, reacting to yesterday’s news, industry analyst Piers Harding-Rolls suggested that – however unpopular the move might be – the change is unlikely to dampen pent-up demand, or Sony’s profits.