Report: Nintendo investors are calling for a price hike on the Switch 2 as costs skyrocket

Even though Nintendo is selling a ton of Switch 2 consoles and its games are topping the charts, the company's stock price has been on a downward trend. It has fallen for five consecutive months for the first time since 2016 (Nintendo 3DS and Wii U), and compared to its peak in August, the company's market value has been cut in half.

Now Bloomberg reports that there is concern that the Switch 2 has become a burden for Nintendo, which has not raised any prices so far, unlike Microsoft and Sony. The company's investors are reportedly worried that the "Switch 2 is deeply unprofitable." Since the console's launch, tariffs, the oil crisis, and skyrocketing RAM prices have significantly contributed to increasing costs per unit sold, likely exceeding Nintendo's (and other companies') projected worst-case scenarios.

On Friday, Nintendo CEO Shuntaro Furukawa is set to present his quarterly report, at which time we are also expected to hear more about the pricing strategy they will adopt. We're obviously keeping our fingers crossed that it won't be necessary (the successes of Pokémon Pokopia and The Super Mario Galaxy Movie should afford them some breathing room), but the risk is that it's unavoidable and that even bleaker times lie ahead for the gaming industry.