Reuters claims Nintendo Switch 2 is expected later this year

A new report claims Nintendo Switch 2 is expected later this year and will feature a custom-made Nvidia chip.

According to Reuters, Nvidia is building an entirely new business unit to focus on designing bespoke chips for hardware firms and has designed a custom design for the next iteration of Nintendo's handheld system.

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A source told Reuters that «Nintendo's current Switch handheld console already includes Nvidia's Tegra X1 chip. A new version of the Switch console expected this year is likely to include a Nvidia custom design».

Interestingly, the report adds credence to rumours that Nvidia had also been courting Microsoft to secure the contract for next-gen's Xbox console recently, too.

Perhaps unsurprisingly, «Nintendo declined» to provide a comment to Reuters.

Last month, Apex Legends maker EA said it can't «acknowledge» Switch 2, but «new platforms are good for us», following a report that Switch 2 will feature a larger eight-inch LCD screen.

Earlier this week, Nintendo president Shuntaro Furukawa said the company would lay out its plan for the coming financial year at its next earnings briefing, expected sometime in May.