Nintendo separated themselves from the others with the Wii and everything beyond it.
My Switch will likely never leave the cradle that much because I'm not a portable gamer. When I leave the house I'm usually doing something that requires my full attention like working or driving or visiting someone. I'm completely uninterested in carrying around an expensive dedicated gaming device.
What I find disappointing is that Nintendo won't even attempt a traditional normal console that's equal to or stronger that their competitors. What's the worst that can result from them trying that one more time? It can still be done with profitable hardware. It will clearly never happen again though.
Nintendo just doesn't see the benefit of joining a console war. When you look back at the N64 it was the most advanced console at that time, and even some developers stayed away because according to them it was too difficult to code for. I think at this point people don't purchase Nintendo to play the games thats available on other consoles. They purchase Nintendo's for the games that can only be played on Nintendo; and shockingly their is a market for that. I think while the Switch maybe underpowered Nintendo did bring innovation to this console, they also brought one of the most powerful chips that could be added to a tablet for gaming on the Switch. The reason the Xbox one and Ps4 is more powerful than the Switch is due to the fact their consoles have more room for stuff to be added. However, for me personally that don't matter much, as I'm more into gameplay than graphics. The fact I will be able to play games on my TV and on the go; especially games that I absolutely love makes the Switch worth it too me, as my phone has become my first console.
However, I agree. Apart of me do wish the Switch could be more powerful in regard to its specs; but the technology just isn't their right now for them to do this, especially in regard to a hybrid device. However, that computing space is innovating so fast right now that in a couple years it will be caught up with the speed of desktops. I guess Nintendo just wanted to do it before everyone else. However, its important to note that most people know nothing about specs, and don't make purchases based on specs.
Reggie mentioned some of this here...
... He does have a point about the gaming industry becoming stagnant on graphics.