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RolStoppable said:

This is a consequence of the low production volume that Xbox has arrived at. It's also a glimpse of the possible future that a next-gen Xbox would bring if it even launches in the first place: Sold at a premium price to cover the costs of a very low production volume that is a guarantee with Microsoft's strategy of publishing their games on all platforms. These aren't hardware price increases caused by inflation, because this is old hardware. All inflation would justify is that the prices don't get lowered as we've seen with Switch 1 during the past few years. These new prices are the next step of Microsoft's exit strategy from the console market.

Higher game prices for new titles can be justified with inflation, because in normal countries the wages increase to eventually nullify the effect of inflation on the purchasing power of people.

As for Switch 2's so-called pricing disaster, it's a topic that can die for good now. Sony pulled ahead of Microsoft by making the Newb PS5 €499 in Europe recently, more expensive than a Switch 2 at €470. In light of the new PS and Xbox prices, Switch 2 is actually in a better position than Switch 1 was in 2017 when it costed as much as a Sony/MS console + 1 or 2 games combined.

Yeah the notion that Switch 2's pricing was a "disaster" was always hyperbolic clickbait nonsense.

The people raging about that online are like 0.1% of the real world audience.