To answer the OP, I think a lot of it is a combination of severe oversimplification, and simply wanting to play certain games without needing to purchase additional hardware. As someone who highly regards most Nintendo 1st party studios and has plenty of disposable income, this isn't something that I mind, but I imagine someone that either can't afford a 2nd platform, or only cares for the occasional Zelda or Xeno game wouldn't find buying a Nintendo platform to be an ideal situation.
I personally can't speak for how the business would have to change to become 3rd party, but I imagine there are factors that come into play here that most people on forums really don't take into account. If the negative aspects of controlling their own platform really do outweigh the positives, then making that change would likely be worth it...it just seems obvious to me that the question really is more complicated than "Bad Hardware, Good Software".
Personally...I'm not too optimistic that the company's software output would remain unchanged after a huge shift like this. I'd be happy to be proven wrong in this hypothetical scenario, however.
NNID: Zephyr25 / PSN: Zephyr--25 / Switch: SW-4450-3680-7334
