Nintendo's new hybrid console Switch is undoubtedly a great success. According to SuperData (who compile various sale numbers) 1.5 million units were sold worldwide in its first week, and half a million units were sold in four weeks in Japan (as per Famitsu). An impressive feat considering the lacklustre performance of its predecessor and its relatively high price point. In fact, the price point has been cause of much speculation about the actual production cost of the unit.
Nikkei now reports that a Japanese company called Fomalhaut analysed the Switch components, and they estimated that the platform's production costs are around $257 USD for each unit. The company also claims that the console will ship 30 million units by the end of 2018, a very impressive number if achieved, but suffice to say with production costs at $257 per unit (and that's not including storage, shipping, and marketing), we may not see a price drop anytime soon.