Nintendo does family-friendly games. Which have their place.
However if for example movie industry had its crisis, and someone were to point out how Pixar is doing great, and latest Toy Story is a big hit (it is btw), I'd say "And what if I want to watch anything that is not a family-friendly movie?".
Could Nintendo ever make Baldur's Gate 3? Not in a million years. Doesn't fall into children-friendly bucket and so would completely run against Nintendo brand image.
Baldur's Gate 3 and other games would them just release on a nintendo console, i don't think nintendo would outright refuse to take a whole sect of kinds of titles, the companies making the console and setting the ecosystem do make a difference but you exaggerate a bit.
However if for example movie industry had its crisis, and someone were to point out how Pixar is doing great, and latest Toy Story is a big hit (it is btw), I'd say "And what if I want to watch anything that is not a family-friendly movie?".
Could Nintendo ever make Baldur's Gate 3? Not in a million years. Doesn't fall into children-friendly bucket and so would completely run against Nintendo brand image.