Sometimes I wonder if Nintendo's OS division is like 5 people total. Some people are saying there is no web browser either. 3DS and Wii U had this functionality already and they've been working on Switch/NX for like 2 years now and they're using a standard ARM + Nvidia Tegra setup here ... like how are they so slow in doing things?

They should just allow your smartphone OS (iOS or Android) to be mirrored to the Switch and let you access all your smartphone apps/content through your Switch that way as I mentioned above. If you have to use if for voice chat and matchmaking, just go the whole 9 yards. 

There is no reason not to include it.

For One, Smart TV's are usually neglected with updates, I find smart TV's to be slow and laggy, so I turn all the junk off.
Not everyone has a fire stick, fire tv, roku or chromecast. (I certainly don't, never seen one in person either.)

I run everything through the HTPC. But I also don't have a HTPC in every room where I have a TV.

There is no reason not to include such functionality, it basically means that while you are "on the go" the Switch will not be your primary device.
And by not being a primary device, means it will be left at home more often.

My TV is from 2016 (XBR-43X800D), comes with integrated Netflix and Chromecast, among other apps. While some aspects of its menus can be laggy at times (it's an Android TV), those apps work pretty much flawlessly on it.

The people that this will be an issue for are people that have TVs with fewer HDMI ports. My TV only has 2, and has cable plugged into one, and the PS4 plugged into the other. If I had a Switch instead of the PS4 I wouldn't have access to Netlfix on my main TV.

Every device under the sun has netflix pre-installed, which is what makes this simultaneously not a big deal while also baffling.

Putting out a game console without bloat. An efficient, fast OS that does its core purpose perfectly. Reduce need for overhead in CPU and RAM. Most people won't care as they have many other devices already too do this. Same reasons  to not include DVD or Blu-ray functionality when the discs we actually the same technology. Reasons.

Good thing I can watch netflix in any other device :P

You can get a splitter for HDMI.

That's a terrible excuse. The Switch is likely built from a fork of Android which itself has roots dating back to *nix.

Plus, you can load apps into memory on demand, so it doesn't take away resources whilst you are gaming. - The Xbox 360 did it. And did it with only 32Mb of Ram for the OS and still ended up with Netflix.
The Switch likely has more memory reserved for the OS than the Xbox 360.

On top of that you need to use a second device like a phone just for voice chat on the Switch, was it really that difficult for Nintendo to include a microphone built-in for a few cents and use a voice-chat app on the Switch?
Certainly better than having to juggle two devices at once.

As for Blu-Ray. I'm hoping for a revision of the Switch dock that includes a Blu-Ray drive one day.
The Tegra has the decode blocks to handle it, but I guess that is a misplaced hope, Nintendo hasn't really cared about what consumers want in regards to multimedia capabilities.

Not all TV's are equal sadly. Or are as modern as yours. Majority of TV's sold are cheaper models, which have corners cut. *Looks at Kogan.*
Sony is using a Mediatek chip in your TV derived from ARM A53 running under Android 6.
Certainly allot better than older Smart TV's. Still pretty garbage.

Eventually, you will no longer get updates or support and you might even loose some apps completely, give your TV another year and see how you go.

Plus, I would rather a dedicated box handle all the processing, less input lag that way.

Meh

Not like you can miss out

Yet another reason not to buy the console at launch. I really love the idea behind the Switch; from the focus on the portability to the local multiplayer, but there's no way round the fact that it's a half done machine. It's missing key features, and even games, when it launches. Not gonna buy this thing until the Holiday's at the earliest