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I can see Nintendo making an upgraded Switch to boost performance while still playing Switch games, I mean aside from the fact that they have done it in nearly every handheld generation themselves, MS and Sony bother did the same with the Pro and X.

Time will tell but so far the Switch is poised to devour Japan as the top console, so outside of a few developers most Japanese content will land there and securing domestic strength at home is one of Nintendo's usual focuses.