Not that surprising (Gaming)

by Cody Miller , Music of the Spheres - Never Forgot, Saturday, April 15, 2017, 13:16 (2783 days ago) @ narcogen

Given the choice between manufacturing capacity for that or for the switch, you can see how they would use the capacity for the switch.

Is that really a choice they had to make? Given the rate at which NES Classics were being stocked, I think they had a single boy hand carving them. Can't see that benefiting Switch production much.

That is the point. They do not have the manufacturing capacity for tons of these. To get more would be a waste, since it could be used for the switch instead.

That sounds like nonsense to me. You buy as much manufacturing capacity as you want. Nothing in either the Switch nor the NES Classic is a part that constrains supply--

Actually it does. If you read the articles they literally cannot manufacture more NES classics fast enough. There are constraints on the manufacturing.

Everything else you mentioned are definitely compounding factors and part of the reason too.