The whole point of emulation is that you want to play content for which the original hardware no longer exists. And so there is no harm being done to anyone.
This situation is obviously quite different because Nintendo is being harmed.
It's not piracy to play a game that you've backed up on different hardware than the original developers intended.
But there is also the DMCA, and the anti-circumvention provision, which can be attributed a lot more to the user backing up their game than it can be to the developers of the emulator. But that wouldn't be the same thing as copyright infringement.
That said, if the"interoperability exception" applies to anything at all, I feel like it should apply here. You are circumventing copy protection mechanisms for the explicit purpose of interoperability with other software.
On moral grounds, I also have absolutely no qualms whatsoever with someone circumventing copy protection mechanisms to make a copy of a thing they bought to use for personal use. The fact that that could be potentially illegal at all is disgusting.
If only we had a universal way to easily distribute data, without need to heavily license it, instead opting for easily accessible licenses from reputable sources at market prices...
(we do, but torrents got a bad name)
Netflix was a success not because it was a streaming service with a license fee, but because it provided unfettered access to data for a small fee.
Of course, now there are AIs which can or will shortly be able to trivially reproduce most data formats, so that's a separate issue as far as that goes (and that's bad too, if AI spells the complete death of DMCA), but it really didn't need to be this complicated.
Make your brand well recognized, make your products easy to obtain, go after the pirates not the users. I own a switch and TBH a lot of my enthusiasm is pretty chilled by Nintendo's dickery - I'm less likely to purchase their products (and I'll elsewhere with non-Nintendo stuff - and Nintendo's stuff is honestly becoming a lot of locked down crap these days).
https://wiki.videolan.org/Frequently_Asked_Questions/#Is_lib...
And the weak chipset on the switch is a big reason to want to use emulators without piracy.
And there's modding too.
Your "whole point" is very far from whole.
Your OS emulates. The companies that made the chips you run them on emulate their own hardware. The company in the headline emulate their own video game hardware and sell it to their customers.