Core Viewpoint - The resale prices of the Nintendo Switch 2 have decreased significantly on the Mercari platform, with most items now priced between 70,000 to 80,000 yen, down from initial prices close to 100,000 yen, indicating a shift in the resale market dynamics [1][2][3]. Group 1: Resale Market Dynamics - Prior to the official release, resale prices for the Nintendo Switch 2 were as high as 100,000 yen (approximately 4,973 yuan), but have since dropped to a range of 70,000 to 80,000 yen on Mercari [1][2]. - The highest confirmed resale price was around 90,000 yen (approximately 4,477 yuan), which is about double the suggested retail price of 49,980 yen (approximately 2,637 yuan) [2]. - The decline in resale prices is attributed to the presence of a large number of listings on Mercari, leading sellers to adjust their prices downward [3]. Group 2: Seller Behavior and Market Regulation - Nintendo implemented strict measures to prevent high-priced reselling, including conditions for lottery sales that require applicants to have over 50 hours of gameplay on existing models [3]. - The emergence of "amateur resellers" is noted, as individuals who are not typically involved in reselling are now participating due to high competition for lottery entries [3]. - Despite the price drop, consumer criticism is directed at Mercari for not effectively regulating resale prices, with concerns about the balance between free trade and necessary regulation [4].

Core Insights - The new Switch 2 is larger, more powerful, and more refined than its predecessor, appealing to fans of the original Switch [3] - The decision to purchase Switch 2 largely depends on the user's current game library and willingness to invest in its limited first-party game offerings [3] Hardware - Switch 2 features significant ergonomic upgrades, including a more aesthetically pleasing base, a larger screen, and a new magnetic Joy-Con controller for easier connection and detachment [4] - The new flexible stand allows for multiple viewing angles, enhancing user experience [4] - The game card slot cover is sturdier, addressing previous criticisms of the original Switch [4] - Audio quality in portable mode has improved, although HDR performance in initial games is underwhelming [4] User Experience - Setting up Switch 2 is straightforward, but transferring data from the original Switch can take over ten minutes [6] - The internal storage of 256GB may be limiting, as users reported only 175GB available after downloading recent games, highlighting the need for MicroSD Express cards [6] - The control panel resembles the original Switch, with smoother icons and improved eShop speed [6] New Features - Switch 2 introduces interesting features such as upgraded Joy-Con functionality that allows for mouse-like usage and a new GameChat feature for video and audio communication during gameplay [7] Purchase Considerations - For users who have not owned a Switch before, Switch 2 is highly recommended as the best way to experience classic games [8] - It is a cost-effective option compared to PlayStation 5 or Xbox Series X [9] - However, for those who already own a first-generation Switch or other current-generation consoles, Switch 2 may be a riskier investment, especially given its price point of $450 or more [10]

Investment Rating - Industry rating: Recommended [1] Core Insights - The Nintendo Switch 2 was officially launched on June 5, leading to a buying frenzy overseas due to pent-up demand for the upgraded gaming console [2] - The first week of pre-orders has set records, with over 1.2 million units locked in Japan alone, surpassing the initial sales of previous consoles [3] - Nintendo has increased its monthly production from 2 million to 3 million units to meet the unexpected demand, although supply shortages are still anticipated [4] - Despite concerns about competition in the handheld gaming market, the unique positioning of the Switch 2 has led to strong sales, with a significant portion of new users being female and older demographics [5] - The strong demand for the Nintendo Switch 2 is expected to benefit the related supply chain, making it a focal point in the consumer electronics sector [6]

Group 1 - The core argument revolves around the ongoing debate about the Nintendo Switch 2, which is priced at 3000 yuan and has hardware that is considered five years behind the times, yet its sales may still perform well due to exclusive games [1][3][39] - Nintendo's strategy with the Switch 2 is primarily about maintaining its market position rather than innovating, focusing on exclusive titles like Mario, Zelda, and Pokémon to drive sales [5][6][8] - Despite criticisms regarding its launch lineup, the Switch 2 has generated significant pre-order interest globally, indicating strong market demand [9][10] Group 2 - Sony is reportedly developing a next-generation handheld console that will be able to run games locally, unlike the current PlayStation Portal, which only streams games [14][15] - The new Sony handheld is expected to target a more hardcore gaming audience, contrasting with Nintendo's broader market approach [18][19] - Microsoft is shifting its focus from developing a dedicated Xbox handheld to optimizing Windows 11 for gaming, indicating a strategic pivot towards software and services rather than hardware [22][27] Group 3 - The competition for Nintendo is not just from other gaming consoles but also from mobile gaming, which has significantly impacted the gaming landscape [40][41] - Nintendo aims to expand its gaming ecosystem to attract a wider audience, including casual gamers who may prefer mobile gaming experiences [42][44] - The company has diversified its revenue streams beyond gaming, positioning itself as an entertainment company while maintaining a strong focus on delivering enjoyable gaming experiences [49][50]

Group 1 - Nintendo's new gaming console, Nintendo Switch 2, was globally launched on June 5, with a price of 69,980 yen (approximately 3,399 RMB) and pre-orders exceeding 400,000 units [1] - The launch of Switch 2 is expected to increase investor interest in Nintendo's performance and the gaming console sector, focusing on new products and sales [1] Group 2 - Chinese game developer Paper Games' title "Infinite Warmth" won the "Visual and Graphics" category at the 2025 Apple Design Awards, marking the first win for a Chinese game in four years [2] - The game is recognized for its innovative gameplay centered around collecting diverse outfits rather than weapons, showcasing the design strength of Chinese games and potentially attracting investor attention to innovation and profitability [2] Group 3 - Xindong Network's strategy RPG mobile game "Ither" has launched its international version and opened pre-registration for the domestic version, with over 670,000 pre-registrations on TapTap [3] - The upcoming public test for the domestic version is set for later this year, indicating strong market anticipation and potential for commercial success, which may lead to discussions on the performance of Chinese game developers in overseas markets [3]

Group 1 - Nintendo's new gaming console, Switch 2, officially launched globally on June 5, marking the first new handheld product in 8 years since the original Switch was released in 2017 [1] - Switch 2 features significant hardware improvements, including a custom Nvidia processor with GPU performance reportedly 4 to 5 times better than its predecessor, enabling high-definition gameplay for major titles [1] - The console is available in Japan in two versions: a base model priced at 49,980 yen (approximately 2,503 RMB) and a multilingual version at 69,980 yen (approximately 3,504 RMB) [1] Group 2 - The demand for Switch 2 appears to be exceptionally high, with over 2.2 million pre-order applications received in Japan before its official release [2] - In the U.S., pre-orders sold out within two hours on Target's website, indicating strong market interest [2] - Nintendo's global production capacity for the first year is estimated at 12 million units, which is only 60% of the initial production capacity of the original Switch [2] Group 3 - Nintendo's financial performance had been declining prior to the Switch 2 launch, with a reported net sales of 1,164.922 billion yen (approximately 58.668 billion RMB) for the fiscal year 2025, a 30.3% year-over-year decrease [3] - Following the launch, Nintendo projects a 63.1% increase in revenue for fiscal year 2026, with sales targets of 15 million units for Switch 2 and 45 million game copies [3] - Analysts predict that Switch 2 will revitalize the gaming console market by leveraging advanced AI graphics technology and 4K output capabilities [3] Group 4 - Ampere's analyst predicts that Switch 2's sales could exceed 100 million units by 2030, building on the 152 million units sold of the original Switch [4] - In the domestic market, pre-orders for Switch 2 on JD.com have surpassed 400,000, with prices inflated by scalpers before the official release [4] - Various promotional offers and subsidies are available for the Hong Kong version of Switch 2, making it more accessible to consumers [4][5]

Core Viewpoint - The newly released Nintendo Switch 2 features significant upgrades in design, display, and gaming experience compared to its predecessor, the Switch OLED, making it a compelling option for gamers seeking enhanced performance and exclusive titles [1][25]. Design and Display - The Switch 2 maintains the classic red packaging and has a more compact design, with a larger screen size of 7.9 inches compared to the previous 7 inches, while the thickness remains relatively unchanged [2][4]. - The LCD screen of the Switch 2 offers vibrant colors and supports HDR and high refresh rates, providing a noticeable improvement in display quality over the Switch OLED [7]. Controller Enhancements - The new Joy-Con 2 controllers feature a magnetic design for better attachment and ease of detachment, addressing previous issues with joystick drift and improving overall user experience [10][11]. Gaming Experience - The launch title, "Mario Kart World," introduces an open-world format, enhancing gameplay freedom and visual performance [16]. - Upgraded versions of classic games, such as "The Legend of Zelda," show significant graphical improvements, with stable frame rates and enhanced detail [17]. - The Switch 2 can run high-profile titles like "Hogwarts Legacy" at 1080P and 30 frames per second in handheld mode, showcasing a leap in performance compared to the original Switch [19][21]. Battery Life - The battery life of the Switch 2 is less impressive, with approximately 25% battery consumption after 30 minutes of gameplay, resulting in a total playtime of just over two hours for high-performance games, which is a decline from the previous model's four-hour battery life [24]. Target Audience - The Switch 2 is recommended for players who own only one gaming console, fans of Nintendo's exclusive titles, and those seeking a high-performance handheld gaming device at a reasonable price [25].

Core Viewpoint - Nintendo's Switch 2 is expected to revitalize the gaming console market in 2025 with significant advancements in handheld gaming performance through AI graphics technology, ray tracing, and 4K output [1] Group 1: Product Features and Performance - The Switch 2 will feature a custom SoC from NVIDIA, equipped with RT cores and Tensor cores, enabling real-time ray tracing, HDR rendering, and DLSS technology, allowing for 4K resolution in docked mode and up to 120 frames per second at 1080p in handheld mode [1] - Nintendo claims that the graphical performance of the Switch 2 is ten times better than the original Switch [1] Group 2: Market Positioning and Pricing - The Switch 2 is priced at $449.99, which is a $50 increase from the launch price of its predecessor, with flagship games like "Mario Kart World" retailing at $80 [2] - Despite initial pricing concerns, consumer enthusiasm for the Switch 2 remains high, indicating a readiness to accept higher-end pricing models as long as performance improvements are significant [1][2] Group 3: Competitive Strategy - Backward compatibility ensures that existing Switch games will still run on the new console, while enhanced wireless bandwidth introduces a new feature called "GameChat," allowing up to 12 players to voice chat in real-time and share screens across games [2] - This strategy positions Nintendo to compete more directly with Microsoft and Sony's online ecosystems [2] Group 4: Industry Recommendations - TechInsights suggests that console manufacturers should evaluate the feasibility of adopting advanced chips and AI features for next-generation devices, particularly in the context of portable or hybrid architectures [2]

Core Viewpoint - Nintendo's release of the "Nintendo Switch 2" on June 5 features a specially developed AI chip by Nvidia, which is expected to address the challenges faced by previous successor models of Nintendo's gaming consoles [2][5]. Group 1: Product Features and Technology - The new Switch 2 utilizes Nvidia's advanced AI chip, which is described as a "technological miracle" and is capable of running complex games [2][5]. - The chip supports Nvidia's proprietary technology "DLSS" (Deep Learning Super Sampling), allowing for smoother operation of graphically demanding software [6]. - The Switch 2 can run popular games such as "Street Fighter 6" and "Elden Ring," which were not available on previous models, indicating a significant enhancement in gaming capabilities [6]. Group 2: Historical Context and Challenges - Nintendo has struggled with the successor models of its popular consoles like the DS and Wii, with past models failing to surpass the sales of their predecessors [7][9]. - The 3DS sold 75.94 million units, only about half of the DS's sales, while the Wii U sold 13.56 million units, just one-seventh of the Wii's sales [9]. - The failures of previous models were attributed to an inability to fully leverage new features and complexities that deterred software developers [9]. Group 3: Market Position and Future Strategy - Nvidia's market capitalization is approximately $3.5 trillion, significantly higher than Nintendo's $150 billion, highlighting the importance of Nintendo as a client for Nvidia [5]. - Nintendo's revenue model heavily relies on its proprietary software, which accounted for 73% of sales in the 2024 fiscal year, down 8.2 percentage points from the previous year [10]. - The company aims to diversify its revenue streams by attracting third-party developers to create software for the Switch 2, which is seen as crucial for mitigating risks associated with reliance on its own software [10].

Core Viewpoint - The release of "Nintendo Switch 2" on June 5, featuring a specialized AI chip developed by NVIDIA, aims to overcome the challenges faced by previous successor models of Nintendo's gaming consoles [1][5]. Group 1: Product Features and Technology - The new Switch 2 utilizes NVIDIA's advanced AI chip, which is described as a "technological miracle," enabling it to run complex games [1][3]. - The chip supports NVIDIA's proprietary technology "DLSS" (Deep Learning Super Sampling), allowing high-demand software to run smoothly on the device [4]. - Switch 2 can now support popular games like "Street Fighter 6" and "Elden Ring," which were not available on previous models, indicating a significant enhancement in gaming capabilities [4]. Group 2: Historical Context and Challenges - Nintendo has struggled with the successor models of its popular consoles, such as the DS and Wii, which failed to achieve sales comparable to their predecessors [5]. - The 3DS sold 75.94 million units, only about half of the DS's sales, while the Wii U sold 13.56 million units, just one-seventh of the Wii's sales [5]. - Previous models like the Wii U and 3DS faced issues due to underutilization of new features and lack of differentiation from earlier models, leading to significant financial losses for Nintendo [5]. Group 3: Market and Strategic Implications - The relationship between Nintendo and NVIDIA is long-standing, with Nintendo being a crucial customer for NVIDIA's GPU manufacturing [3]. - The performance expectations for Switch 2 are high, with software developers expressing enthusiasm for creating games for the new platform [6]. - Nintendo's revenue model heavily relies on its proprietary software, which accounted for 73% of sales in the 2024 fiscal year, indicating a need to diversify and reduce reliance on its own titles [7].