One thing I don’t see people mentioning is that Nintendo Switch 1 game cartridges had 32gb of storage. We don’t know about regular Switch 2 cartridge storages, but they’ve already announced games like Elden Ring and Hogwarts Legacy that are much bigger than that. Add in the fact that Switch 2 promises games in 4k (when docked) and there’s a very decent chance that these game-key cartridges exist because some games wouldn’t fit in cartridges and would otherwise have to be digital-only or not be on this console at all.

If the issue is having to go through Steam to launch the game, then GOG would be the better alternative, as it gives you a DRM-free version of the game that can be installed and run without depending on them.