You could do more of a phased transition like
2023 lineup like this
Switch 2 - $349.99
Switch (standard) - $229.99
Switch Lite - $169.99
Switch 2 exclusive titles -
Mario Kart 9
Metroid Prime 4
New Platinum Games Title
Third party titles like Final Fantasy VII Remake, The Witcher 4, Resident Evil 4 Remake, Call of Duty, new engine FIFA.
Switch + Switch 2 cross platform titles
New 2D Super Mario Bros.
Ring Fit 2
New Pokemon game
New Fire Emblem game
Legend of Zelda: Wind Waker HD
Octopath Traveller 2
Cross gen games on Switch 2 run enhanced at 1080p portable + 4K docked. Pokemon just jumped to this new 3D engine so they'll probably milk that for a while.
I think that's a reasonably doable, that said Nintendo likely will want people not to linger on Switch 1 too long.
With that kind of 2023 lineup, there's no need for a Switch 2 in 2023 at all.
All of these games are already on Switch, I think there is an upper ceiling on hardware Nintendo can sell through IPs it's already released on the hardware and by 2023 those titles will not be providing big sale boosts and they will also not be reaching the feat of their predecessors. We saw this with the 3DS.
I personally wouldn't propose all of those titles be cross gen. Only ring fit & 2D Mario, WindWaker HD. At some point Nintendo needs to invest in their future and I think people are forgetting how quickly Nintendo hardware drops off.