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IcaroRibeiro said:

If two devices have different features and those key features are what people look for then they are competing for the same market (read the same pool of customers)

Otherwise they are not. If someone is looking specifically for a handheld then there is no competition between PS5 and Switch, the competition would be between something like Switch and Steam Deck

Likewise, if what someone is looking for a machine to play third parties then PS5 and Switch are competing, as long those third parties are shared between both consoles, which is not the case for most of western AAA

Wii U and PS4 were more directly competition than PS5 and Switch, Switch is competing with PS5 yes, but they don't share exactly the same pool of customers. It's different from MS and Sony, those 2 are fighting for almost exclusively the same audience

Very good explanation. The same thing I have been trying to tell everyone.