At least it would be TRYING to have more reach to consumers.
Nintendo's strategy of only appealing to kids and only sometimes caring about it's actual, much larger fanbase isn't really economically estrategic if you think about it.
Because they sell their products at overpriced numbers and their current console is built on 8 year old hardware that even it's chip makers said it was "outdated" back in 2015.
Yeah, and it's sold more units than the PS5 and all iterations of the current XBox combined, at a profit on every unit. Nobody's out there holding a gun to people's heads to buy the Switch, but they sell FAR more than either of their competitors in both hardware AND software. It sounds to me like you're not actually angry at Nintendo, but angry at the majority of customers in the game industry that don't share your disdain for less powerful hardware.
The hardware is weak, but the market has spoken and to them at least, it doesn't matter. If it DID matter, people wouldn't buy them. Why would Nintendo spend the extra money when consumers have already decided they're going to buy it in droves anyway? So they can spend more on manufacturing and make less profit? Yes, they wanted easy cash. What responsible company doesn't? It doesn't make any sense to spend a dime more on producing a product than what your customers demand. The limitations of the Switch are the fault of consumers who buy it, not Nintendo's. If Microsoft could sell the same number of units Nintendo can by making a game system that cost $50 to manufacture and ran on 386, you can be damn sure they would too. I completely understand your anger - I've had to spend the last 20 years watching flocks of people buy inferior, overpriced Apple products and rave about how great they are. But like Nintendo, Apple only does it because the consumers let them get away with it. Your complaint is misdirected when it should be targeted at the customer base. But good luck teaching happy people who don't know any better that the thing they like is bad. It's not a great use of your time.
All of your other problems are perfectly reasonable, but if you think Microsoft's plan if they buy Nintendo is to drop everything and start porting old titles or working on a new Starfox game, I'm afraid you're going to be disappointed. Like Disney buying Star Wars, get ready for annual, mediocre entries in your favorite series cranked out by a revolving door of existing teams to maximize output. After a couple years of half-baked Mario and Zelda games, they'll stop selling in the numbers Microsoft wants, and after the golden goose is dead, they'll dissolve any remaining Nintendo assets into their larger acquisitions structure, lay off a bunch, and put the name in the vault while they look for something else to cannibalize.
So like the vast majority of PCs still run on 1060 instead of whatever the latest shit is? Sounds pretty reasonable, especially if you want mobile gaming.