All you need to do is look at Octopath Traveler. It's a SNES-style RPG with pixel 3D environments, yet it sold over 1 million copies worldwide. There's an audience for these games on Switch.
Octopath Traveler is a 2D game. Apples and oranges there. If your suggestion is to move all 3D modelers/animators etc over to 2D then that will of course hurt that developer. That's not an easy switch.