Gaming hardware prices are expected to keep climbing in the coming years due to rising component costs and other factors. Industry experts point to increased demand for RAM from AI data centers as a primary driver. They also cite tariffs, inflation, and geopolitical issues as contributing elements.
Valve raised prices on its Steam Deck by more than $200 last week. The Nintendo Switch 2 faces a small price increase later this year, while Xbox and PlayStation 5 consoles have seen multiple price hikes in recent periods. Analysts attribute the increases mainly to a RAM supply shortage caused by demand from AI data centers. Joost van Dreunen of NYU Stern noted that U.S. tariffs have added volatility and pushed manufacturing elsewhere. Dr. Serkan Toto of Kantan Games highlighted persistent global inflation and geopolitical turmoil such as the Iran war. Most analysts expect prices to continue rising until at least 2027 to 2029. Rhys Elliott of Alinea Analytics described current increases as lagging indicators tied to expiring supply contracts. James McWhirter of Omdia predicted further Nintendo Switch 2 price increases in 2027. Experts remain uncertain about any eventual decline. Tiago Reis of Newzoo said the pricing floor for hardware is likely higher than before 2026. Mat Piscatella of Circana noted that gaming still offers many low-cost or free options through mobile and free-to-play titles.