Its going to be interesting to see what Nintendo does.
Will they carry on staying 2 generations behind. Making something slightly stronger than the Switch. Like the Wii was to Gamecube, Wii U to Wii and Switch wasnt much stronger than Wii U.
Or is something like Steamdeck specs, a generation behind basically more likely?
Some of the rumours seem like they are gonna push hard and make something stronger than the Steamdeck and something a bit closer to current gen.
Nintendo will struggle if they go Home Console only. Its going to be a big effort to make current gen games for them after being so use to making stuff like they have for the Wii/ Wii U/ Switch etc. And not many Remasters left from previous generations which filled alot of the Switch library.
If they do another Hybrid and play it safe they will be fine and maybe more
They can, and I think they will, go for a hybrid again, but where they also have a dock that has additional GPU compute in it. So when the system is docked, you're probably going to get Series S-level performance. When undocked, maybe something closer to the Steam Deck.
The key being, Nvidia tech like DLSS 3.2 (or better) and NVLink, allowing the GPU compute in the portable and the dock to run simultaneously. I know Nvidia have basically abandoned that concept on the high-end desktop GPU market, but there's a chance Nvidia and Nintendo have been doing something with it.
For example, I can see the portable component having the CPU (obviously), a weaker GPU component, 6 GB RAM (LPDDR5), some storage. It'd run at lower clocks in this mode of course, to hit a good TDP. Some form of DLSS, or something for frame generation more so than resolution image boosting. This setup would be for those who want to play games at Switch levels, with a bit of boost for free resolution bumps and framerates.
Then the dock itself would have a more powerful GPU; TF-wise it'd probably be less than Series S but the more important thing is that the pixel and texture fillrate is comparable. DLSS 3.2 (or better), 8 GB GDDR6, decent PSU allowing for higher TDP, and clocks. Pixel & texture fillrates on par with Series S when the dock is used. GPU RAM same amount and similar bandwidth as Series S. With DLSS 3.x, can enable comparable or better framerates and resolution than Series S games, but this will depend somewhat on how good the CPU is.
Thinking about it now, the NVLink stuff wouldn't be required in this setup; when docked the GPU in the portable itself would just disable or only be used for OS shell stuff. The LPDDR5 RAM could be used for the OS and various background tasks, and non-graphics game logic. The dock's GPU would be used for games, its RAM for game graphics data, etc. The interconnect would probably need to be Thunderbolt 4.0-based, though, and since it's Nintendo likely with a proprietary connection and some type of additional encryption for data transmission.
Then they could do 2 SKUs; one with the dock and one without. $249 without the dock, $399 with it. Meanwhile they'll probably sell the dock separately for $199. If Nintendo did this, they'd basically squeeze the Series S out of the market in terms of any real relevance, but that might ironically make Microsoft just fully open up about dropping the parity clause, so less games or delayed games for the Series S and more Series S customers moving over to Series X (or PS5, or Switch 2, but in this case most to Series X if they already have Game Pass and a lot of Xbox games).
However, this could also put a lot of pressure on Sony, especially in places like Japan. A lot of Japanese 3P AAA games Sony either gets priority on by default or easy exclusivity deals on (because the only other viable option was Xbox), will suddenly start equally prioritizing Nintendo, and in some cases make it a lot more competitive between Sony and Nintendo to get exclusivity on some of those games. This could really make things tough for Sony in markets like Japan, where they already have an uphill battle vs. the Switch, though PlayStation Portal looks promising enough to help offset some of that potential trouble.