I could see the argument for large file sizes, but tiny games like Puyo Puyo Tetris 2 also get released as key cards. I could see the argument for key cards being an improved replacement for "download code in a box" releases, but those are still a thing on Switch 2 regardless.
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Yeah, Nintendo's unwillingness to offer smaller, cheaper physical media really makes it look like Nintendo is just putting the squeeze on 3rd party publishers for no good reason.
Just like in the NES days. Everything old is new again!
If they at least replaced download codes in a box, they would have made some sense. Will never buy those boxes. But I don't like game key cards as well. Picked up CP2077 and RuneFactory GoA instead. Felt an urge to support real cartridge releases.