Game-key cards are different from regular game cards, because they don’t contain the full game data. Instead, the game-key card is your “key” to downloading the full game to your system via the internet.
Pay a premium for a physical copy of your game, and the cartridge may not contain the actual game. Only on Nintendo Switch 2.
Many Ubisoft games and Activision games on the Switch 1 were sold like this.
Switch cards hold a maximum of 32GB, maybe that’s why? Although it seems no excuse for Switch 2, given it’s a whole new generation, why not support larger cards? I mean you can buy a 256GB microSD for $15, and that’s a private individual buying one; at scale, the memory can’t be too expensive…
But the Switch cards are not MicroSD cards. MicroSD cards are produced at much larger scales than Switch game cards. And there are many manufacturers producing the MicroSDs. That’s why MicroSD cards are so cheap because there is competition. While the game cards are a bespoke design using non-standard flash memory and only produced by Nintendo’s partners in lower numbers than MicroSD cards. I heard from a publisher that they had to pay $8 per unit for the 16GB card when they released a small indie game for the Switch 1. That was almost the price of the digital version. So they had to charge double for the retail version. The Switch cards are relatively expensive that’s why many publishers opted for a small card and forced the consumer to download the rest even when the game could fit on the bigger card. And Nintendo still takes a royalty for every game sold on top of that.
But even if a publisher could buy a 256GB Switch card for $10 bucks that is money not going into the publishers pocket. So of course a publisher like Activision will opt for the smallest card possible so they can earn a couple of bucks more per game sold.