Reuters claims that the Nintendo Switch 2 is expected to be released later this year

A new report claims that the Nintendo Switch 2 is expected to be released later this year and will feature a specially designed Nvidia chip.

according to ReutersNvidia is building an entirely new business unit to focus on designing custom chips for hardware companies and has designed a custom design for the next iteration of Nintendo's handheld system.

Newscast: Nintendo Switch 2 tech demos and potential launch titles discussed.Watch on YouTube

“Nintendo's current Switch portable console already includes Nvidia's Tegra X1 chip. The new version of the Switch console expected this year will likely include a custom Nvidia design,” a source told Reuters.

Interestingly, the report adds credence to rumors that Nvidia has also been courting Microsoft to secure a next-gen Xbox console contract recently as well.

Perhaps not surprisingly, Nintendo declined to provide comment to Reuters.

Last month, Apex Legends maker EA said it couldn't “acknowledge” the Switch 2, but that “the new platforms are good for us,” following a report that the Switch 2 would feature a larger 8-inch LCD screen.

Earlier this week, Nintendo President Shuntaro Furukawa said the company would lay out its plan for the upcoming fiscal year at its next earnings call, expected sometime in May.

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