Graphics chip company nVidia has won the rights to implant its Tegra “System-on-Chip” processor into the next Nintendo portable system, which both BSN and PC Perspective have confirmed with internal nVidia sources. This thus confirms that a successor to the DS line is in the works, which BSN states will see a release in late 2010. Note however that both Nintendo and nVidia have not made any official announcements, so this news is not 100% confirmed yet.

The Tegra chip is used in Microsoft’s HD Zune Player and in many smart phones. Its graphics and processing power are on par with the Wii and it offers far less battery consumption than the current DS setup, meaning the next system will feature a major boost in graphics and battery life. If the next Nintendo portable system is released in 2010, we could see the 5th generation Pokemon games as early as fall 2010, though more likely in 2011 since Pokemon games always come out at least the year after their respective systems are released.