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People said $300 for the Switch is to expensive in 2017 and many said it would flop because of that alone.
Then people said $350 is to expensive in 2021 and the OLED Switch is a rip-off. And now it's the most popular model.

Why would in 2024 $400 for a much more powerful system be to expensive?
I heard many arguments in 2021 as to why the OLED model was supposedly overpriced and none of them mattered in the end. After all the inflation, with much more expensive chipsets and a battery that still needs to run for a similar time as the Switch's battery they won't be selling that thing for the same price as the OLED model (even if that one got a price cut).

Nintendo selling a console at a loss would be a first and there's really no reason for them to do that. There's way more reasons why they should never do that.