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It's all about protecting profit margins, people need to just accept that it's not 2002 anymore. Industry has changed a lot.

In the past game consoles also used to have lower ceilings, like 45 million-ish sold was a pretty strong success because the market was not large. You needed price cuts just to get there as the industry was a lot of children relying on parents to buy them their system (1980s-mid 2000s). That has changed, nowadays, Nintendo and Sony know they can get to 100+ million without too much fuss if they have a good system. Why cut the price.

There will be a Switch 2 Pro this time around too I think, one that will have an even fatter margin for Nintendo ($599.99?).