Per PCMag, the Switch 1 cost about $250 per unit to produce. The NVIDIA chipset alone is estimated to cost about $150 itself, about a $100 chipset price increase, so the console pricing makes sense, even if at 1st glance it doesn’t look like much has changed. Games should be $70 but can’t winem all
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I don't think the price of games has to be set at anything. People will pay for what they think is worth it. We've seen this hundreds of times with cheaper games over the years, HK, terraria, omori, etc. People will happily pay a price for something they find quality.