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potato_hamster said:
The price of the Switch would have been just fine in 2012-2013 if it was launching alongside the PS4 and Xbox One at their launch prices. But it isn't. It's launching against systems that are 3 years old, have seen multiple price cuts, and are now cheaper than the launch price of the Switch. No one cares about what the PS4 and X1 prices were three years ago. They only care about PS4 and X1 prices now.

Now you might be asking why this is relevant. That's because a prospective Switch buyer is going to go into a store and is going to be choosing between the PS4, the XB1, That's a fact. The problem is now, is that in almost every way the Switch is more expensive than the Xbox One and PS4, especially when you consider there are hundreds of great games out for those systems that can easily be had for less than $20. When a prospective buyer can buy a PS4, an extra controller, and 4-5 games for the price of a Switch, a pro controller, and Zelda, that becomes a hard sell.

Exactly this!

The Switch is one of the most expensive handhelds ever and it is the most expensive home console currently available.  

On the portable front, it will alslo have to compete with "free" hand-me-down mobile devices.  On the home console front, it will have to compete with $249.99 XBox One's and PS4's that have better hardware, better online and arguably better game libraries.  It's greatest feature is that it is the best place to play Nintendo IPs, but that did not work for the Wii U (which was also an expensive console).

I still think that Nintendo should have released a Switch Mini home console, with no screen, for $200.