Jensen Huang Says Nvidia’s Chip For Nintendo Switch 2 Is ‘Unlike Anything We’ve Built Before’

Huang credited former Nintendo CEO Satoru Iwata for the vision behind the hybrid system, calling the Switch 2 a “new chapter worthy of Iwata Son’s vision.”

Nvidia (NVDA) CEO Jensen Huang praised the custom chip powering Nintendo’s (NTDOY) upcoming Switch 2 console on Tuesday, calling it the most advanced graphics solution ever developed for a mobile device.

In a video posted by Nintendo ahead of the console’s launch Thursday, Huang said the Switch 2 integrates “three breakthroughs”–full hardware ray tracing, high dynamic range support, and a new architecture enabling backward compatibility.

“It’s unlike anything we’ve built before,” Huang said. He added that the console includes dedicated artificial intelligence processors to “sharpen, animate, and enhance gameplay in real time.”

Huang didn't mention any specifications but said that Switch 2 would have "the most advanced graphics ever in a mobile device."

Huang also credited former Nintendo CEO Satoru Iwata for the vision behind the hybrid system. “Switch 2 is more than a new console,” he said. “It’s a new chapter worthy of Iwata Son’s vision.”

The two companies began collaborating in 2015, when Nintendo selected a prototype based on Nvidia’s Tegra X1 system-on-chip (SoC) to power the original Switch. At the time, Huang described the relationship between the two companies as potentially lasting 20 years, given Nintendo’s history of sticking with hardware partners for the long haul.

That custom chip helped enable the Switch’s hybrid form factor and has been included in all 132 million units sold since the console's 2017 debut.

Nvidia dedicated what Huang previously described as “several hundred engineering years” to customizing the SoC and logic board for Nintendo’s needs. Nintendo acquired the intellectual property and used it as the basis for its hardware.

While Nvidia no longer breaks out Tegra revenue separately, the business generated $1.45 billion in fiscal 2020, accounting for 13% of the company’s total.

Nvidia’s stock was up 3% in midday trade on Tuesday. The shares have gained 4% this year and 24% over the past 12 months. 

Nintendo’s stock edged 0.1% higher in midday trade. The shares have jumped nearly 40% this year and 50% over the past 12 months. 

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