Fly On Wall Street

Nintendo Switch Lite’s $200 price tag made possible by months of negotiations

The $200 price tag of the Nintendo Switch Lite, one of the console’s main selling points over its cousins, was made possible by months of negotiations.

The Nintendo Switch Lite was announced in July as a lighter, smaller, and less expensive alternative to the standard Nintendo Switch system. The new console offers better battery life, but drops docked mode and the removable Joy-Cons.

Bringing the Nintendo Switch Lite’s price to $100 less than the $300 price tag of the standard Nintendo Switch console, however, was not a simple task.

Several component suppliers told the Wall Street Journal that Nintendo was aggressive in sourcing parts for the Nintendo Switch Lite, in order to make sure that the company would be able to sell the console for $200. An executive of an unnamed supplier even revealed that there was a months-long negotiation with Nintendo over the price of a key component.

As part of its cost-cutting efforts, which aim to capture the low end of the market, Nintendo also pursued Murata Manufacturing as a new battery supplier. A source told the Wall Street Journal that Nintendo hopes to benefit from even lower prices by fostering competition between Murata and TDK Corp., the company’s primary battery supplier.

Nintendo was reportedly even trying to get the Nintendo Switch Lite price to below $200, but apparently, that was a goal too lofty to reach.

The Nintendo Switch looks to maintain the console’s momentum as it heads into its third holiday season since its March 2017 launch. It is still too early to say for sure, but the new version of the portable console is already looking like a winner.

In her Nintendo Switch Lite hands-on review, Digital Trends gaming editor Felicia Miranda said that it is the superior handheld compared with the standard version of the console, due to the more ergonomic design and a standard D-pad in place of the four separate directional buttons in the Joy-Cons.

The Nintendo Switch offered the unique feature of functioning as both a home console and a portable system, etching its place in the video game industry alongside the PlayStation 4 and Xbox One. However, for those who will only be using the device on the go, the Nintendo Switch Lite is a blessing, and Nintendo made sure to make it as affordable as possible.

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