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Monday, July 19, 2021

Nintendo denies report that OLED Switch will have higher profit margin - The Verge

Nintendo has issued an unusual statement denying a report that said the upcoming OLED version of the Switch would have higher profit margins than the regular model. The report in question was published by Bloomberg last week and speculated that the higher-end components in the OLED Switch could total around an extra $10 per unit, based on analyst estimates.

“A news report on July 15, 2021(JST) claimed that the profit margin of the Nintendo Switch (OLED Model) would increase compared to the Nintendo Switch,” Nintendo’s statement reads. “To ensure correct understanding among our investors and customers, we want to make clear that the claim is incorrect.” Nintendo didn’t provide any information about the profit margins of either Switch console.

The OLED Switch costs $349.99, $50 more than the standard model. Aside from the 7-inch 720p OLED screen, it also doubles the internal storage to 64GB, adds an ethernet port to the dock, and includes a more flexible kickstand. If the estimates cited by Bloomberg were accurate, it’d mean that Nintendo could be making up to $40 more on each model sold, but the company now says this isn’t the case.

Nintendo also said in its statement that it has “no plans for launching any other model at this time.” Bloomberg had previously reported that a new version of the Switch would come not only with an OLED screen, but more powerful internals and the ability to output 4K resolution by making use of Nvidia’s DLSS technology.

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