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JEMC said:

Maybe they can expand it by using a bigger GPU. Both Tegras, the X1 and X2, have 256 shaders. Nintendo's version of the Tegra could feature a bit more than that (although I doubt it), but in any case it will probably be made using the 14/16nm process.

In two-three years the 10nm process will be already on the market, and that could allow Nintendo/Nvidia to pack more shaders (of the same architecture) paired with newer ARM cores while keeping the same overall power envelope.

Then, in another two or three years, they could launch a Switch 2 with a completely new and more powerful design/architecture, while ensuring that it's backwards compatible. And then repeat the same.

The chip inside the Switch is probably already using the advertised 14/16nm half pitch so I don't think Nintendo can fit anymore logic in there unless they want to risk degrading the MTBF ratings ... 

I guess Nintendo could just forgo backwards compatibility if they really needed a new generation but they should ideally opt in to make the gfx API more abstract since it'll work to Nvidia's advantage and it'll make the lives of the programmers at Nintendo much easier when they do not want to work with anything hardcore like DX12 so it's a win-win in terms of the API design I'm talking about because it maximizes portability, performance, and ease of use.

Also, the idea that Nvidia will somehow swipe Sony or Microsoft from AMD in terms of console deals is LOL worthy when backwards compatibility is finding new value but if Nvidia is looking to usurp AMD then all the more luck to them acquiring x86 related patents before the console manufacturer's decide to start a new generation ...