Is Apple Working On A Nintendo Switch Clone?

Rumors are rife that Apple Inc AAPL is working on a hybrid console akin to Nintendo Co Ltd NTDOY-manufactured Switch.

What Happened: The rumors of a Switch-like console have their origins in South Korea — specifically the online forum Clien, Nintendo Life reported Tuesday, citing unconfirmed sources.

The console will reportedly be powered by a new “system-on-a-chip,” which is not a part of either Apple’s A or M-Series of processors.

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The chip is likely to exhibit, “enhanced GPU performance and ray tracing support.” Ubisoft Entertainment SA UBSFY UBSFF was one of the companies being consulted on the development, as per Nintendo Life.

The rumor was also shared on Twitter Inc’s TWTR social media platform by Korean tech handle @FrontTron last week.

Why It Matters: Apple-focused publication 9to5Mac on Tuesday said that a Switch-like console from Apple seems “extremely unlikely” in a report.

See Also: Nintendo Updates Switch Firmware So Users Don't Have To Rely On Twitter, Facebook To Transfer Media

The report touched on several facets including the presence of iPod touch that could potentially be refashioned into a larger gaming device as reasons for the tech giant not venturing into hybrid consoles.

In March, it was reported that Qualcomm, Inc QCOM was building a gaming console similar to Nintendo’s Switch, which will run on Alphabet Inc GOOGL GOOG subsidiary Google’s Android operating system, as per a Verge report.

Meanwhile, Nintendo itself has plans to upgrade its Switch consoles with larger OLED displays made by Samsung this year in hopes that it will boost holiday sales, according to Bloomberg.

Price Action: Apple shares closed nearly 0.7% lower at $125.91 in Tuesday’s regular trading and fell 0.15% in the after-hours session. On the same day, Nintendo OTC shares closed 1.27% higher at $71.55.

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