I think iterative has its place. Innovation for the sake of it can be costly, and can be either confusing (Wii U), pointless (3DS) or not really ready to be in the market (Virtual Boy). Iteration can be safe and give the company time to think about what direction they should innovate towards. Switch 2 is already showing why Nintendo were right to take the safe approach. But also the timing has to be good, especially if there was room to improve on past ideas (magnetic joycons, no drifting, graphics closer to current gen). It allows the console to clean up some of the previous shortcomings and meet the original vision, which can be extremely enticing, but at some point it becomes too boring (like a Switch 3 would be), and leaves time for competition to replicate you.
That being said I always enjoy and deep respect innovative ideas and prefer it, especially when there are so many risks and it's seen as an underdog. DS, Wii and Switch (even to some degree the N64) felt new, fresh and honestly exciting. Even though I know the Switch 2 is great, even though I'm playing a lot of it, the magic of that first Switch can't be replicated. I hope we get to see Nintendo do that again.
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