Nintendo has told GamesIndustryBiz that its console and handheld hardware divisions are merging in a brand-new Kyoto facility.

Nintendo is making the move in an effort for the two divisions to work more closely together and share technology more efficiently, as well as for the two divisions to work on further integrating the Nintendo 3DS with the Wii

GIBiz note that Nintendo’s latest hardware has struggled to compete with its predecessors, and is also faced with stiffer competition in the form of new platforms like tablets and smartphones. So Nintendo could therefore be hoping that the closer working partnership could be seeking to address the challenges posed by these new market contenders.

It is reportedly thought that besides the advantages of working more closely together, the departments could work on future hardware which could seek to combine the potential of home and handheld systems in a single device.