Nintendo earns only $4 for every Switch 2 sold

Although the Switch 2 is priced at $450, there are rumors that Nintendo makes little money from its latest consoles, making only $4 per Switch 2 sold.However, this is not surprising in the hosting market, as the hosting business is often the case.

传任天堂每卖出一台Switch 2仅赚4美元

Recently, Nintendo Prime, a content creator, said on Twitter that Nintendo only makes $4 for every Switch 2 sold.

Nintendo Prime tweeted: “Double Jump Games, a retailer that has only got nine Switch 2s, noticed in the order that Nintendo makes almost no money per device in the U.S. market, at just $4, and the cost is basically the same as the selling price.”

传任天堂每卖出一台Switch 2仅赚4美元

He further stated in his comments: "This $4 is retail profit. Nintendo sells it at cost and does not make any profit in itself."

Considering that the hosting business is usually like this, there is nothing to be surprised about, and some manufacturers even lose money on each host.So, the $4 profit may be "pretty good" in this case.

As hardware manufacturing costs gradually decrease over time, the Switch 2 will become more profitable.Even so, Nintendo can earn considerable revenue through game sales ($80 for some games), so lower hardware profits in the short term will not cause much trouble for it.

It should be noted that this is only a rumor from a content creator, and it is recommended that everyone be cautious.