Kyuu said:
Nintendo is facing challenges of their own: 1. They probably will fail to make as much profit per hardware unit as they did with Switch 1, even though it's notably more expensive. 2. Their userbase being physical bias is a problem, because cartridges cost up to $17 to make in addition to the 30% retailer fees. Their outrageous physical prices are an attempt to accelerate the switch to the cheaper (and more profitable) digital. Bluray in comparison is very cheap, plus Sony and MS both have much higher digital ratios. Decent chance Nintendo consoles' profit margins will fall dramatically this generation even if Switch 2 manages to sell 150 million+ units. |
Source for retailers charging 30% now?







