So Stellar Blade on Switch 2 is the first officially switch 2 game to be on a 32 gig cart, we heard that R-Type 3 was going to be, but was never officially confirmed. With smaller cart sizes officially confirmed to be available to third parties, maybe some of the bigger companies like Sega, Capcom, and Square Enix will decide to release their games fully on the cart.

What does everyone else think? 

The R-Type 3 announcement back in December, that Nintendo were offering two smaller sizes, which they then had to retract was definitely legit. They just weren't supposed to say it.

So smaller sizes have been a thing all year. I doubt it's going to have a big impact on AAA games but it's helpful for Indies and AA that feel inclined. They will still cost a lot though lol. A 32GB cartridge isn't going to be half the price of a 64GB cartridge, doesn't work like that.

I don't think the bulk of third party being on GKC is going to change.