Just last week, on Tuesday, February 26th, 2024, news broke out about the Yuzu emulator team being sued by none other than Nintendo themselves, with Nintendo claiming that the emulator apparently allowed users to play certain games early (due to street dates being broken) and also allowing...
I'm not sure how it'll work since I'm sure no one wants to be sued over a commit, but you pretty obviously can't kill an open source project so easily.
Nintendo would need to prove that you had and ran the tools locally which is damn near impossible to do. I could create a commit without even opening the solution or compiling it.
It would also put Nintendo up shit creek by turning the entire FOSS community against them.
Given that other emulators are now taking down their public facing websites, im not too sure. Hope Im wrong. Going to upvote because Im hoping they are right.
No, they largely will go after people hosting and distributing the tools. Running it privately is obviously not legal, but wouldn't rise beyond Nintendo trying to ban you from stuff.