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Consumer reactions to bad products are often delayed. People will keep buying something until they have a bad experience personally, and then they will switch to something else. Famously you can see this any time a movie franchise releases a bad sequel. People will go to see it, but they will stop watching that franchise from then on.

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I sincerely doubt that Nintendo will let the ball drop so much that it impacts sales significantly. They have had numerous occasions when they have been heavy handed with anti-consumer reactions or making decisions that end up hurting customers (like how they never actually fixed the joycon drift), and yet here we are. I'm not holding my breath that boycotts (such as the ones voiced in this thread for example) are actually affecting Nintendo, or will in the future. Legislation is our only choice.

I agree, this is unlikely to do that much damage to Nintendo. But, if they keep escalating to new ways to annoy pirates and legitimate users alike, it's only a matter of time until it does.

Switch 2 is amazing.

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