Core Points - Nintendo's legal department has achieved another victory by reaching a settlement with Modded Hardware, which will pay $2 million (approximately 14.27 million RMB) to Nintendo [1] - The court issued a permanent injunction against Modded Hardware, prohibiting the sale of any MiG Switch flashcards, mod chips, or other devices that circumvent Nintendo's anti-piracy measures [1][3] - Nintendo has also seized products and websites related to Modded Hardware's business [1] Industry Context - This settlement marks Nintendo's second legal victory this summer, following the closure of the NSw2u website, a popular platform for distributing pirated Switch games, in collaboration with the FBI and Dutch authorities [3] - Earlier in March 2024, Nintendo reached a settlement with Tropic Haze, the developer of the Yuzu emulator, which agreed to pay $2.4 million (approximately 17.12 million RMB) and permanently cease operations [5] - The U.S. District Court in Seattle confirmed that MiG Switch and related products violated copyright protections under the DMCA, consistent with Nintendo's previous successes in anti-piracy lawsuits [5] - Ahead of the anticipated release of Switch 2, Nintendo has amended its user agreement to state that the company reserves the right to permanently ban unauthorized modified consoles [5]

Core Viewpoint - Nintendo has confirmed that it will not adopt the "keycard" model for its first-party games on the upcoming Switch 2, maintaining traditional physical game cartridges to ensure players can experience games without additional downloads [1][3]. Group 1: Nintendo's Strategy - Nintendo's official response indicates a commitment to traditional physical game cartridges for first-party titles, ensuring a seamless gaming experience for players [1][3]. - Doug Bowser, President of Nintendo of America, emphasized that physical game cartridges remain a crucial part of the company's business model [4]. - The upcoming Switch 2 games, such as "The Legend of Zelda: Breath of the Wild" and "The Legend of Zelda: Tears of the Kingdom," will integrate original games with upgrade packs on a single dedicated cartridge, eliminating the need for download codes [4]. Group 2: Third-Party Game Distribution - Third-party developers may adopt different distribution methods, with some games like "Street Fighter 6" using the keycard model, while others like "Cyberpunk 2077: Ultimate Edition" will continue to use traditional full-data cartridges [4][5]. - Nintendo has reportedly provided third-party developers with three distribution formats: pure digital, 64GB capacity physical cartridges, and keycards, with the higher cost of 64GB cartridges leading some smaller developers to opt for keycards [4]. Group 3: Game Ecosystem Clarity - Several confirmed first-party Switch 2 upgrade games will utilize the integrated cartridge format, contributing to a clearer gaming ecosystem as more details emerge [5].

Group 1 - Nintendo announced pricing information for multiple Switch2 game titles and upgrade packs on its eShop, with upgrade packs for "The Legend of Zelda: Breath of the Wild" and "The Legend of Zelda: Tears of the Kingdom" priced at 50 HKD (approximately 47 RMB) each [1] - The pricing strategy for upgrade packs may stimulate consumer spending and benefit game developers, while high-priced games could elevate market expectations for high-quality titles, fostering industry competition and innovation [1] Group 2 - Bethesda acknowledged text display issues in the Simplified Chinese version of "The Elder Scrolls IV: Oblivion Remastered" and is actively working with the development team to address these problems [2] - The company's response to player feedback demonstrates its commitment to brand image and may enhance player trust in game quality, highlighting the importance of localization quality in the industry [2] Group 3 - The mobile version of "Valorant," titled "Valorant: Source Action," surpassed 10 million pre-registrations within 48 hours of its announcement, showcasing strong market appeal [3] - The collaboration between Riot Games and Tencent enhances market expectations for game quality and positively supports stock prices, while also boosting overall market sentiment in the gaming sector, indicating significant potential in the mobile esports market [3]