I don't want to bet against Nintendo, because they usually get it right... but I feel like it is the wrong product out at the wrong time.
Switch would have looked brilliant 5 years ago, when it would have looked like a strong competitor against playing mobile-phone games and it would have landed right on the Millenials. Now, it just looks old, late, and like it's trying too hard to be everything for everybody, instead of really good at something, and none of it looks comfortable; the controls look small, the parts look easy to lose (hence probably why the ads are all aimed at mid-20s people, not kids), etc.
I agree, they should have gone for the throat with VR. Pokemon Go was the future, not Switch.
But IDK, maybe I'm wrong, and this is what people want. I just think they should have realized that the Wii flowed naturally into augmented-reality, and they should have gone there. Not VR, but things like the Minecraft AR project, where kids and adults could participate as a family, for example, in an active way... not yet another handheld device that will be low-powered when it arrives and steadily look weaker and weaker. But some of this hinges on how well things like SteamBox go; if that takes off, I predict a big split in the console market between those who want all of the power of PCs but none of the hassles and those who just want a cheap game station for the kids. Young adults will just use their phones; products like Switch won't have a niche.