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Has a Nintendo rumour more than a month in advance, or about hardware at all, ever been true? Nintendo never leaks anything - Wii was a complete surprise in all aspects.

The Tegra hardware is mostly ARM IP. The part designed by Nvidia is the graphics core, Geforce 6 era, and it has plenty of competitors at that performance level and in the ARM SoC market from other mobile chip vendors. So far the confirmed device wins for Tegra include only the Zune HD, which is a US-only product and given previous Zune sales will not be very high volume.