Yeah, I'd say this makes sense on a case by vase basis.

Like if the game is well rounded and has some polish and isn't locking you out via MT's/Battle passes, and isn't too big of a money sink, then yeah, day 1 would make sense.

if it's buggy af, lacking content, diming you from the get-go, putting you on the hamster wheel for little quality output, then yeah, that sounds like a "do not buy until half a year to 1 year later" kind of choice. 

Palworld for example is low price, meaning there is low risk of investment from the customer. The game isn't perfect and has some bugs, but it's in better shape than others like it were at their launch (like Ark as a prime example). The game also has an amount of content for the player to do and to entertain themselves, and it has no BP's/MT's, so it makes the investment choice come off as a sound investment, at least compared to say Suicide Squad, which has all the hallmarks of a "do not buy at launch if at all" written all over it. 

Personally I like to wait a couple of weeks if it's a cheap game to see how many patches it'll receive to rectify core issues. The expensive games (like Sony's late ports), I'll simply just wait 1-2 years until they're dirt cheap, and by then they'll be patched up enough (though TLOU Remaster on PC really isn't indicating to me that it's drastically improved as some like to say it has).

i think it depends on the game or the developers. but honestly i just wait to see if the reviews are good first before buying regardless of who made it.

Content removed.

I can still vividly remember getting my GBA at launch from Toys 'R Us back in the day. I got it with SM Advanced, F-Zero and Circle of the Moon. I still have the system and both games. There was no update at launch for anything, and the games were complete.

The internet is the culprit.

Pretty simple answer for me that it doesn´t make sense to buy at launch.
You´re getting a buggier product that will often lack later content at the highest possible price.
Honestly I´m taken aback by people arguing against that somehow.
I mean, OK anybody can be so enthusiastic they want immediate gratification. Advertising works, apparently.
I can make similar choices that aren´t really the best over-all value.
But I don´t then go and argue it is the best over-all value (time or money),
I just chalk it up to my superficial sentiment and impulsivity, not something to stand up to serious assessment.
Nothing to defend really, even if it you don´t consider it the worst thing in the world.

Consider: there is an impoverished kid with no prospects for advancement, who doesn´t even have time to play many games.
Can you honestly recommend they spend their very limited money on one overpriced bugged out day 1 game?
Or could they spend that on fully patched DLC´d discounted game? Highere quality and cheaper to better their life over all.
Come on, that´s easy.
I don´t know why it´s hard to just treat the topic honestly and directly and not get hysteric defending impulsive and wasteful choices.

EDIT: I will make an exception: you know you will soon die to incurable illness, and want to play some brand new game,
even if it isn´t fully patched and even if it´s over-priced at launch. I think that exception proves the rule of what I am saying.

Only games I buy on launch are the games I want to play on launch.
Normally that will only be Blizzard Entertainments games on PC.

Everything else can wait until it's cheaper.

Never had any issue buying Nintendo games at launch. Third parties can be a bit risky, but I always just check out gameplay footage online before I buy to avoid picking up a lemon.

I recently picked up FF7 Remake and GRID Legends on Switch 2 at launch and had a good experience. 

If it's a game from a franchise I love and enjoy and a developer I trust or want to support, then I will buy the game at launch because I have full confidence that I'm getting my money's worth and want to ensure I keep getting my money's worth in the future.

I'll give some examples.
One of my favorite franchises is Shantae. Any time a new Shantae game is announced and released, I'm on top of it, because WayForward has earned my trust and I want to see the series continue.

I bought Final Fantasy VII Remake on Switch 2 as soon as it came out, despite already owning the PS5 version, and I intend to do the same for Rebirth and Part 3, because I want to see the trend of mainline FF returning to Nintendo systems continue. And I intend to do the same for other high profile 3rd party games that catch my eye, like Pragmata and Resident Evil Requiem (This would actually be my first Resident Evil game, I'm kind of excited about that!) Because Capcom appears to be all in and putting the genuine full effort to support Nintendo Switch 2 and I want to acknowledge that effort and see it continue.

The feeling of having a whole community of people on the internet joining alongside you at the launch of a game is the biggest motivator for me purchasing and playing at launch. There was once a period in my life where I purchased nothing at launch, but I started to feel very lonely in my gaming hobby, and new reveals would never excite me.

That said, I only purchase games I’m a big fan of at launch… so Nintendo and whatever cutesy platformers you can think of. Anything and everything else, I either do not purchase or grab at bargain bin prices.