The price increase for the Switch models in the US and Canada is due to tariffs, but it nevertheless suggests why a price hike in year 9 can be seen as an indicator of a longer lifecycle:
Short Remaining Lifecycle = No ROI on Price Adjustment
A price adjustment (including re-labeling, communication, margin adaptation, and repositioning) is cost-intensive and requires coordination.
If Nintendo were planning to sell the system for only another 2 years, the effort wouldn't be worthwhile — especially if existing inventory could simply be sold off.
In that case, it would make more sense to maintain pricing stability or offer discounts rather than raise prices.A Higher Price Only Pays Off with Longer Availability
A price hike only becomes profitable over a larger volume of units or a longer time frame.
This supports the idea that Nintendo is calculating with a longer sales period for the Switch.Signal to Retail and Investors
A price increase is also a signal: "This product remains relevant."
Retail partners only invest in advertising, shelf space, and promotion if they know the console will continue to be relevant for a longer time.
