Nintendo’s prudent decision to use Samsung’s 8nm node for the Switch 2 SoC (Nvidia T239) has given them a buffer as component costs continue to rise, but that is about to change.
Reuters reports that in July Samsung raised 8nm prices “by nearly 10%” for new orders. So after the existing T239 order runs out, Nvidia/Nintendo may need to pay ~10% more to fabricate the processor, or even more to upgrade to 4 or 5nm. This not only will put further pressure on the Switch 2 margin, but also the pricing of a hypothetical Switch 2 Lite.
[Originally posted on 2026-08-21 Pacific Time]
