According to rumors; AMD was actively trying to get a contract to supply hardware for the Nintendo Switch 2 – the price of the console will be from $400 to $500

It looks like the Nintendo Switch 2 will continue to use Nvidia hardware, despite the company’s noticeable absence from the portable PC market, which is largely dominated by AMD. However, nothing is set in stone until the official announcement, as the red team appears to have put in a lot of effort to gain Nintendo’s favor.

The best portable gaming PC available today is the Steam Deck OLED, powered by a custom APU with Zen 2 processor cores and AMD’s RDNA 2 compute units. It’s no surprise that it’s more powerful than the now seven-year-old Switch, but this show of force in Valve’s hybrid, like other higher-end devices, apparently wasn’t enough to pry Nintendo away from Nvidia.

According to Nvidia sources who spoke with YouTuber Moore’s Law Is Dead, AMD was a strong bidder for the Switch 2 contract but ended up losing the bid. Some details have also appeared about the possible technical content of Switch 2.

However, more specifically, the source says that Digital Foundry’s study of the Nvidia T239 processor is “an almost entirely accurate description of what will be in Switch 2.” If this is true, Nintendo’s next handheld hybrid will have access to DLSS technology, but features like DLSS frame generation are out of reach just yet.

Why did Nintendo supposedly choose Nvidia over AMD? One of the key reasons is to maintain compatibility with the old Switch so that the new console can run the games of the previous one without emulation. Unlike AMD, Nvidia doesn’t have an x86 license, which forces Tegra chips to use the Arm instruction set, and switching to AMD’s x86 CPU would mean a ton of additional porting complications if Nintendo wanted to run older games on the Switch 2.

Arm processors are also more efficient in terms of battery life compared to complex x86 processors. In addition, Nvidia has more experience producing Arm chips than AMD. For comparison, on Steam Deck and ASUS ROG Ally there is an x86 CPU from AMD.

Of course, financial factors also influenced the decision. A Moore’s Law Is Dead source said Nvidia presented Nintendo with a number of options, including one with the same GeForce RTX 30 line architecture. However, the company ultimately “selected a cost-optimized version of Orin” – an architecture created primarily for robotics and AI.

According to the source, the custom chip includes “some efficiency improvements from Lovelace (GeForce RTX 40), as well as a few other highlights.”

In addition, the insider noted that the price of Nintendo Switch 2 could be between $400 and $500, although, if necessary, the price tag could be lowered to $350. This is significantly more expensive than the original Switch, which sold for $300.