The point made was that Nintendo has always focused on gimmicks instead of power. The counterargument was that once upon a time, Nintendo produced consoles with a much higher focus on processing power and substantially less of a focus on gimmicks.
Your point, while perhaps relevant to the general discussion, does not actually pertain to the specific point you're quoting.
Yes, Nintendo's hardware power is joke-tier—now.
That's what happens when you try to compete in blue ocean spaces rather than continue to plunge right into red ocean spaces.
Even if Nintendo did it's absolute best to make as powerful a console as possible, it'd still be a relatively modest spec'd pc.
Now, I'm not going to run and try to hunt one of these systems now- if I buy a Switch at all this year, it will be because of a glitch or some manner of stupid bundle sale around Black Friday/Christmas. Honestly, for the past generation or two, has ANY piece of console hardware actually been worth owning during it's first year? Or even arguably during it's first revision?
I only bought a PS4 because thanks Target having a 25% discount that worked with a 10% and 5% Red Card so that I was only paying about $200 for the system, and even that was because you could pick up every major release this winter for 50% off or better.
Hell, even Steam sales for PC versions weren't that kind, even if you averaged the sunk cost of buying the console into buying the games!
When the Switch is easily obtainable and there are 3-4 non-"remastered" games worth playing, I'll think about it. But I expect it will take a glitch or a stupid bundle around black friday to make me seriously consider it this year.
(Tl;dr: I'll +1 my console boxes later, I just wish I could use card money.)