While gamers are diving into the exciting world of the new Nintendo Switch 2, Samsung is celebrating a significant victory behind the scenes. The South Korean tech giant is a major beneficiary of the console’s sales boom, thanks to its pivotal role in manufacturing the Switch 2’s core components. This development highlights Nintendo Switch 2 sales as a key win for Samsung’s foundry business.
At the very heart of the Nintendo Switch 2’s performance lies a custom NVIDIA chipset. This vital piece of tech, responsible for the console’s graphics and processing power, is exclusively manufactured by Samsung Foundry, Samsung Electronics’ dedicated chip-making division. This means that with every single Nintendo Switch 2 console flying off the shelves, revenue directly flows back to Samsung.
This is a big deal for Samsung, especially given the delicate situation of its Foundry division. Winning orders for the Nintendo Switch’s main chip is a major achievement. Now, the more successful the Samsung Nintendo Switch 2 sales are, the greater the boost for Samsung’s semiconductor operations.
This strategic partnership secures Samsung a central role in the console’s lifecycle, from its production to its widespread adoption. This rapprochement between both companies paves the way for Samsung supplying displays for the Nintendo Switch 2 OLED. However, this is just speculation at the moment, but it would be great news for fans.
A Samsung rival also scores big
While Samsung holds the primary manufacturing role for the main chipset, other players are also contributing. SK Hynix, a strong competitor in the memory chip industry, is supplying the console with its necessary memory components. They supply 12 GB of LPDDR5 DRAM and 256 GB of NAND flash storage chips. However, it’s Samsung’s foundry expertise with the NVIDIA chipset that truly positions it as a dominant force reaping the rewards from Nintendo Switch 2 sales.
The booming success of the Nintendo Switch 2 translates directly into a significant boost for Samsung’s bottom line. It’s a clear example of how intricate global supply chains can create widespread benefits. Samsung is now solidifying its influence beyond just its own branded devices.
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