Nintendo's success with the Switch both a blessing and a curse?

[tripenfall]

Everyone is wondering how Switch will compete against a 12 Teraflop console.
I'm wondering how a 12 Teraflop console for $600 competes against a console that could see a $50 price drop and be $349 or $249 (for the Lite) with thousands of games available and an install size of 60 million units?