Sony's Physical Games Exit Fuels Nintendo's Cartridge Future

Sony's reported move away from physical releases has renewed concerns about the future of game ownership, while Nintendo continues to invest in cartridges even as manufacturing costs rise.

Sony’s recent announcement of plans to stop physical game releases has once again put the future of physical media under scrutiny, with many players questioning whether boxed games are on their way out. Microsoft has already moved aggressively into digital distribution with Xbox Game Pass and away from traditional releases. Still, Nintendo seems to be taking a different path, even as production costs increase.

This follows predictions that Sony will end physical releases on PlayStation platforms by 2028, a move many in the industry believe could pave the way for an all-digital PlayStation 6. The move has alarmed collectors and consumers who prefer to own physical copies rather than rely on online marketplaces.

Unlike its competitors, Nintendo continues to strongly support retail releases.

With the launch of Game-Key Cards for the Switch 2, the studio has repeatedly shown that physical editions remain a major part of its business plan. It seems Nintendo is increasing the amount of physical games, rather than abandoning cartridges. But they’re not cheap to make those cartridges. Reports suggest that a PlayStation 5 disc costs about $6.50 per unit to make, whereas Nintendo Switch cartridges are generally priced between $12 and $15 each. 

Switch 2 cartridges are considered much more expensive, which makes Nintendo’s commitment to continue using physical media a significant counterpoint to the rest of the industry’s digital-first trajectory. Despite the greater manufacturing costs, Nintendo has been releasing many more physical games than its competitors.

Some first-party games have also been released as premium-priced physical versions, letting users buy whole games on a cartridge instead of forcing everyone to download them. Nintendo’s Game-Key Cards have also been added to the strategy.  They don’t have the full game data in the classic sense, but they still retain many of the benefits of physical ownership.

Players can purchase, sell, trade, lend, and collect them, giving publishers a cheaper production option while keeping games on retail shelves. But while there is no assurance Nintendo will continue with this strategy forever, industry observers say the evidence so far suggests the business is still devoted to physical. Previous speculation has put Switch 2 cartridges at around $16 to $18 to make, values that align with more recent reports claiming production costs have grown since the original Switch generation. 

Hardware fans have also seen evidence of varying cartridge capacities being used for Switch 2 launches. Some users claim that by examining identification codes found on cartridge memory chips, Nintendo has surreptitiously introduced smaller storage options, allowing publishers to release games physically without always relying on larger—and more expensive—cartridges.

That would explain why some lesser games that may once have gone out the door as Game-Key Cards are now getting full cartridge releases.

Publishers may be absorbing some of the manufacturing expense to appease collectors who still want entire physical editions. Sony, on the other hand, seems to be going the other way. If allegations about its physical media plans are true, this suggests that future PlayStation releases may become increasingly digital-only, reinforcing expectations that the company's next hardware generation could go all-in on downloadable content.

For many long-term collectors, Nintendo is the last major platform holder that still cares about physical ownership. Xbox has mostly shifted its consumer focus to Game Pass and digital libraries. At the same time, PlayStation titles increasingly rely on huge day-one patches, even when purchased on disc, but Nintendo still offers cartridges for a more conventional ownership experience.

Collectors also mention the practical merits of Switch 2 cartridges. Physical copies are small and portable, and can be loaned out, traded, or resold later. Even collectors with no intention of selling their collections appreciate being able to go to a store, buy a game, pop the cartridge in, and start playing, rather than relying solely on digital marketplaces.

You can see that philosophy in Nintendo's current price model, too. Nintendo has often kept retail versions at a premium rather than killing tangible media, but has offered digital versions of games at a lower price through the eShop. That way, consumers are effectively paying for the cartridge itself while still having the option to acquire a physical copy.

The long-term future of physical games is up in the air, but Nintendo seems committed to keeping that option alive, even as the rest of the gaming world moves toward digital distribution. The discussion about physical pricing has also spread to one of Nintendo’s most anticipated upcoming games. Recently, retailer Play-Asia listed the reported The Legend of Zelda: Ocarina of Time remake for Nintendo Switch 2 at $59.99, leading to speculation that Nintendo’s long-awaited remake could come at a lower price than expected.

The listing is far from a confirmation, since Nintendo has yet to formally announce a release date or retail price for the game.

But retailers have used placeholder prices before formal announcements, so many fans are left wondering whether this reflects Nintendo’s final plans. Some analysts and fans remain skeptical that a remake of one of Nintendo’s most renowned titles would debut at a price below the company’s recent premium-priced products. The price difference between digital and physical editions has increased with recent first-party releases, with some games shipping for $70 digital and $80 retail.

Ocarina of Time is a renowned game, and with its remake likely to be one of the major holiday releases on the Switch 2, many expect Nintendo to market it as a flagship game that deserves a premium price. Some have even speculated that the game could someday be paired with a special edition Switch 2 device, should Nintendo decide to make it a centerpiece of the system’s lineup.

Others warn that Play-Asia’s listing might be an approximated placeholder price rather than internal information. Until Nintendo makes an official announcement, consumers should see the estimated $60 as speculation rather than fact.

If the remake turns out to be a simple visual enhancement of the Nintendo 64 classic, a reduced price point might surely be justified. But most think Nintendo will beef up the game considerably with modern visuals, extra features, and wider enhancements — which means a higher launch price is more likely.

Both tales point to a bigger trend in the gaming business right now. Sony and Microsoft continue to embrace digital distribution, but Nintendo remains the greatest proponent of physical game ownership among the major console makers. Whether that devotion carries on to future generations remains to be seen. However, for collectors and enthusiasts who still value cartridges on their shelves, Nintendo continues to set itself apart as the rest of the industry inexorably advances to a more digital future.