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HoloDust said:

Current estimates for RAM+storage for Switch 2 are around $80-100...which makes sense, since off the shelf you can buy similar thing for PC for ~$130. That might go up though, so I was talking about pricing in current memory climate.

So, currently, yeah, they are more than able to make $350 Switch 2 Lite, which is in line with Switch to Switch Lite pricing. I believe that would be sensible thing for them to do, even if they "only" break even or loose a bit money on it. Of course, if memory costs keep on rising, anything goes.

Well if that is true, then there really is nothing to worry about— the ball is fully in Nintendo’s court. Whether they opt for profitable hardware at the risk of a stunted install base would be completely in their hands at that point.

But again this is assuming what you say is true. I’ll look into it.