This is a new bit of information out of the Capcom and Switch memory thread.
Upping the thread because it seems Gameindustry.biz posted an update to the original article
The first thing Capcom brought up was main memory space (RAM). With the number Nintendo initially proposed, it was enough if you compare it to other hardware at the time, but Capcom ultimately dared to say that it actually wasnt sufficient. The reason for that is because of the companys new RE Engine. Development of the engine was ongoing internally, and in order to reach its demanding specifications, more memory from Switch was definitely needed.
Ijyuin said Capcom is looking into porting RE Engine to Switch by attempting to optimize it to operate in a low power state. In order to port it, it is necessary to make the engine capable of corresponding to two different performance modes: docked and portable. Therefore, it is not an easy task, but they would like to put in the effort to achieve it.