The difference between the Switch Lite and DS Lite is that the DS Lite was an objectively better version of the console to have. With the Switch Lite, you are losing a lot of the Switch's core features and limiting the amount of games you can play. Once things settle down I'm curious which SKU will sell better. I feel like in the US the regular Switch model will regularly outsell the Switch Lite, but maybe not in Japan.
Clearly some people are holding out for the Lite, as Switch sales have dropped in anticipation of this release.
The lack of features will be made up for by the lower price point and improved portability. The base Switch will still account for most Switch sales when all is said and done, but there's definitely a place for the Lite as an entry level device. Now that 3DS is over, they need something to fill that cheap portable void.
Indeed, the Lite won't cannibalize OG Switch sales. Both can generate good numbers on their own. I think this week's OG sale won't decrease. I wanna see a 200k+ week