i disagree with you on the ethicalness of emulating current gen games, personally i think there’s nothing wrong with it, but regardless:

emulators for retro hardware often get their start while the console is still in production. for example, gamecube games nowadays are pretty expensive, so if you want to play them without breaking bank you’ll have to use an emulator, and the most mature by far is dolphin.

dolphin started being developed in 2003, while the gamecube was still the most recent nintendo console, and it grew from there. if dolphin started development in 2017, when nintendo discontinued the last console that could play wii & GC games natively, it would no doubt be far less capable today.

same goes for 3DS emulators like azahar, who descend from citra, which started development when the 3DS was recent.

nintendo here is not going after pirates, or even people who play legally backed up games, they’re going after emulator developers. even if it was unethical to emulate the switch now, stopping switch emulator development will ensure that switch emulation won’t be as good as it could be when it would stop being unethical.

in other words, it’s killing game preservation, or at least hampering it. that’s not good, even if you think piracy is unethical.