 Today, Nintendo definitively confirms they are making next gen hardware right now. If you guys recall, we did a video a few days ago, maybe it was last week even, where we talked about Nintendo's investor meeting, right? They went over all the record numbers, what they predict they're going to be doing for the rest of this year, and in there was a massive number for research and development last year, and Nintendo saying they're increasing investing in research and development this fiscal year to basically one billion USD. It's a lot of money, and Nintendo last year has never spent this much on research and development, and Nintendo this year is obviously breaking that record again and spending more money on research and development than they ever had. Now the money in research and development does include game development. Now here's the thing, we talked about it back then on a quick tweet by David Gibson who was at this investor's meeting, that Nintendo said they're working on next gen hardware. But people were like, oh is that really what he said? Did they just mean next hardware? Were they talking about the pro? Were they just making a general statement? Well today we have all of the Q&A questions from the investor's meeting provided officially translated by Nintendo themselves. We are not relying on third parties for this. This is directly from Nintendo. There will be a link to this Q&A on Nintendo's website down in the description. If you want to go check it out, there really isn't that much other interesting stuff that happened in this Q&A. This was really the one nugget to come out of it. We're going to read the question and the full response, and the response comes from Shintaro Furukawa. So the question from an investor, we're not sure which investor was. In recent years, research and development expenses have been on the rise. What's the context for that? We're anticipating research and development expenses of nearly one billion yen this fiscal year. But what could give you a general idea of the kind of development that is for? So basically Nintendo, you're spending a crap load of money that you could just save and pay us in dividends. What the hell are you spending this money on? We've never seen you spend this kind of money. Shintaro Furukawa responds and says, our software development costs, which include outsourcing, are increasing as we work to maintain a continuous stream of new titles for Nintendo Switch as it enters the middle of its life cycle. Because per title development costs are higher now than they were on past platforms, we anticipate that research and development expenses will continue to rise as we work to maintain a sizable lineup of titles. That's really good news for all of us. Nintendo is trying to get a bunch of games out and they're spending the money to do so. So hey, hope that Nintendo is not going to tail off like they've done with prior systems. How many times has Nintendo hit the mid-cycle of a system and then nose dive with delivering games? That apparently is not what's happening now, they're investing more than ever. So we'll see what happens there. Alright, we are also conducting a variety of studies which include investing in ways to enhance our digital business and future services that will help maintain long-term relationships with our consumers. Think about this. Think about this. He says this was touched upon briefly in their corporate management policy last September. Think about that for a moment. We've talked about the virtual console stuff. That would be a digital delivery platform. That would be a future service. Remember, it says future service. This kind of makes it sound like this is not a service currently available. He just confirmed Nintendo is working on services that are currently not there. A future service, better digital business, enhanced our digital business. New eShop, new Nintendo Switch Online, whatever it is. We've heard rumors, Nintendo's basically saying we're doing pretty much all of that. We can't tell you the exact details but yeah, we have new services coming. We're trying to fix the current services. We're trying to enhance our digital stuff. Hey, if you want some credence to those eShop rumors, to the virtual console, to Nintendo Switch Online rumors, this is closest Nintendo is going to get before our announcement. In addition, in addition, here we go. In addition, sorry, I had to catch my breath on this one because this is, here we go. In addition, the development of the next generation of hardware needs to begin years before launch so research and development expenses that are gradually rising for that. This is not a mincing of words. This is not a misquote. This is not a mistranslation. Confirmed 1000% Nintendo is making next gen hardware now. Now it's not. We're going to release for years. He does note years down the line. So this isn't soon. This is in three years. This is in four years. Whenever they decide we're done with the current generation of Switch, they have the next gen hardware and active development now. And part of the rising cost is their investment in active development of the next gen platform. So stop telling me Nintendo's not working on next gen. Those of you that doubt this. This is the horse's mouth, the top at Nintendo telling you we are. And why would you doubt it? Nintendo always has to work on their next gen platform years before launch. This shouldn't even be shocking. But for some reason, for some people, it's a surprise that Nintendo is trying to get next gen hardware made behind the scenes. It is a little bit of a surprise for them to mention the word next gen. Because generations aren't supposed to matter. But hey, Nintendo used that terminology. Here we go. There's one last sentence said here. It's not a huge deal, but it says we are aiming to grow by continuing our integrated hardware software entertainment business. So they're going to release another system. They're not going away. They're not going to become third party. And that means conducting all sorts of research and development in various areas, including both hardware and software. So yeah, also games for next gen, by the way, we're going to have that too. Oh my gosh, who knew they're going to make next gen games and next gen hardware. And probably their very first next gen game is already in development. Who knew? Nintendo knew. So that's the big news there. That's the exciting stuff. All confirmed from the horse's mouth. You guys, let me know your thoughts on this down in the comments below. If you liked this video, drop a like, leave a comment down below, and what you hope the next gen saw. Let me know what you want next gen to be. Another switch, another traditional home console, full on handheld. What kind of hardware are we talking? What do you want the specs to be? What pricing do you want? Let me know down in the description. We probably won't be talking about next gen switch for quite some time or next gen anything for quite some time. Obviously, Switch Pro is kind of the thing out there now. Next gen will be something we probably talked about years from now, but still, let me know your thoughts because Nintendo brought it up themselves. And you know, anytime a company mentions next generation, we got to talk about it. Alright, folks, I'm Nintendo RoboJet from Nintendo Prime, and I'll catch you in the next video.