Software casts shadow over Nintendo’s Switch 2 gains

Hi, you’re receiving our free Tech In Brief newsletter because you had been getting one of Bloomberg’s technology newsletters that are now subscriber-only. You can manage your subscriptions here.

Tech Across the Globe

Sony powers up: Nintendo’s biggest rival raised its profit and sales forecasts after reporting strong results driven by blockbuster movie releases. The Tokyo company also sees less of an impact from US tariffs than it had previously indicated.

EU ban: The European Union is exploring ways to force member states to phase out telecom equipment from China-based Huawei Technologies and ZTE Corp.

Chip sales: TSMC reported a sales gain of almost 17% in October, the slowest monthly revenue growth since February 2024. Still, industry executives remain optimistic that AI demand will continue to drive growth at the world’s leading chip manufacturer and the tech sector as a whole. 

Revalued

Canadian legal software provider Cleo raised $500 million at a $5 billion valuation, making it one of Canada’s most valuable tech startups. New Enterprise Associates led the round, which included other existing investors. The company was valued at $3 billion in 2024.

Must Read

Nintendo’s Switch 2 console release is setting new highs for hardware sales and the company’s share price, Vlad Savov and Takashi Mochizuki report in today’s Tech In Depth. But one possible shadow is creeping up on that bright outlook — Switch 2 players aren’t buying as many new games as console owners in the past, they write.

Get the Tech In Depth newsletter for analysis and scoops about the business of technology from Bloomberg’s journalists around the world.

This Week in Power On

More telecom companies are turning to satellites to power mobile phones and Apple should consider making a long-term shift toward the technology, Mark Gurman writes in this week’s Power On.  Regardless of the provider, Apple is developing additional satellite features such as letting users navigate Maps without cellular or Wi-Fi access, he writes.

Sign up for the Power On newsletter to get the inside scoop from Mark Gurman on all things Apple and consumer tech.

Get Tech In Depth and more Bloomberg Tech newsletters in your inbox:

• Cyber Bulletin for coverage of the shadow world of hackers and cyber-espionage
• Game On for diving deep inside the video game business
• Power On for Apple scoops, consumer tech news and more
• Screentime for a front-row seat to the collision of Hollywood and Silicon Valley
• Soundbite for reporting on podcasting, the music industry and audio trends
• Q&AI for answers to all your questions about AI