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Nintendo’s Profits Jump $300 Million After Tariff Refunds And Strong Software Sales

Nintendo’s Profits Jump $300 Million After Tariff Refunds And Strong Software Sales https://ift.tt/qGf1OJR Back in August 2025, Nintendo increased the price of the original Switch console in accordance with ongoing tariffs, but after the US Supreme Court declared these to be unlawful, it didn't hesitate to claim a refund. With the release of its quarterly earnings (April 1 to June 30) for the current financial year, we now have a clear picture of just how much these refunds helped Nintendo, as it recorded a 52% increase in its operating profits year-on-year, totaling $300 million. It's worth noting that Nintendo didn't reach this figure purely with tariff refunds, as the company says that "solid software sales and the resulting increase in the proportion of software in net sales" also helped. The US tariffs--that Nintendo sued the US government over --were previously recorded as cost of sales, and Nintendo also noted that its gross profit margin increased b...

Nintendo Sees Potential In Generative AI, But Won't Make Games Created "By Technology Alone"

Nintendo Sees Potential In Generative AI, But Won't Make Games Created "By Technology Alone" https://ift.tt/WUKBHad

Several video game companies have begun exploring how generative AI can help with the development process of their titles, but Nintendo isn't ready to embrace the technology just yet. When asked in a shareholder Q&A if the company had any initiatives in place to use AI, Nintendo president Shuntaro Furukawa explained that AI could be used "in creative ways" but there were also "issues with intellectual property rights" to deal with.

"Generative AI, which is becoming a big topic recently, can be used in creative ways, but we recognize that it may also raise issues with intellectual property rights," Furukawa said. While Nintendo is open to "utilizing technological developments," it is currently relying on its experienced employees to develop unique games.

"We have decades of know-how in creating the best gaming experiences for our players. While we are open to utilizing technological developments, we will work to continue delivering value that is unique to Nintendo and cannot be created by technology alone," Furukawa said.

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