Nintendo Switch Manufacturing Cost is $257 – Report

4.3
When the Nintendo Switch was first announced, many balked at the $300 asking price. Of course, given the number of features it boasted (though that doesn’t forgive the features it lacked), it made sense but $250 was considered to be the sweet spot several months prior.

It seems that Fomalhaut, a Japanese firm that does teardowns, may have the answer. In a new article on Nikkei Technology (courtesy of Wall Street Journal’s Takashi Mochizuki on Twitter), Fomalhaut estimated that the overall manufacturing cost for the Switch was $257. It also speculated that Nintendo would sell 30 million units by 2018 end, which lines up with reports that the company has doubled production of the Switch heading into next year.

Though the Switch has seen its share of problems, it’s seen fairly good success across the world, selling 500,000 units in Japan faster than the PS4. What are your thoughts on the console till now? Let us know below.

Posted:
Related Forum: Gaming Discussion

Source: http://gamingbolt.com/nintendo-switch-manufacturing-cost-is-257-report

Comments

"Nintendo Switch Manufacturing Cost is $257 – Report" :: Login/Create an Account :: 8 comments

If you would like to post a comment please signin to your account or register for an account.

IlcamorristaPosted:

Skates Damn, I was hoping the price would drop a fair amount before I purchased one. But now knowing it's estimated to cost $257 to produce, I'm not sure how far they will price cut it in the coming months. Oh well.

Im sure it's going to be the same price for a while until holiday seasons. They have bumped all the 3DS games as soon as it came out. I'm sure there not going to descend the price for the games or console.

IlcamorristaPosted:

In the Uk second hand are going for £300 +

SkatesPosted:

Damn, I was hoping the price would drop a fair amount before I purchased one. But now knowing it's estimated to cost $257 to produce, I'm not sure how far they will price cut it in the coming months. Oh well.

322Posted:

I wonder how much they spent in R&D and at what unit it turned a profit. Interesting that they chose to use rather cheap materials for the device rather than something that would actually be more durable. Have heard of a lot of issues that really shouldn't be a problem for a device like this.

Mr_RobotPosted:

This seems kinda high. I expected it to be alot less

TJPosted:

Seems like a good profit that they're making still

SilkyPosted:

This is quite good considering a lot of companies that make massive profit per item.

16Posted:

At least their prices are close. Unlike apple making ~700 more then manufacturing cost at times.