Practically, yes, this is the main differentiator. But still it would be interesting to see some specs. Is the GPU 15% better, 50%, what? The switch came out 7 years ago... there is opportunity for some fairly serious performance improvements even in the mobile form factor.
Clearly it's the same basic platform. And I think that's fine - they've really cornered a pretty big niche of mobile (ish), motion controls, family.
I suspect the larger screen size is because more people are using the mobile aspect in their home, not out on the subway or something.