During a recent lecture at NYU, former Nintendo of America President Reggie Fils-Aimé revealed that in the early days of the DS era, Amazon once sought preferential treatment from Nintendo. This request was so unlawful it could have harmed Nintendo's relationships with other retailers and possibly broken the law.
Amazon allegedly asked for ‘obscene’ financial support to undercut rivals, including Walmart. Reggie Fils-Aimé recounted how he firmly told the Amazon executive involved that such actions were illegal. This disagreement led to a temporary halt in sales between Nintendo and Amazon. However, they eventually reconciled, allowing products like the Switch 2 to be sold on Amazon again.
The incident highlighted Fils-Aimé's stance on maintaining ethical business practices: 'We stopped selling to Amazon because I wasn’t going to do something illegal or risk our relationships with other retailers. It also set a firm boundary for how we conduct business.'
While the two companies have since mended their relationship, this episode serves as a reminder of the thin line between competitive advantage and breaking legal boundaries.
