I don't think piracy on a few switches here and their is a problem, but if piracy becomes widespread on many consoles, it will put off many 3rd party devolopers. If many people can essentually get their games for free that they have put a lot of time and effort into developing, they won't make the games in the first place. Having said that I don't think that while its a paid for hardware service, or a limited firmware option to 1.0/3.0, its going to present much of a problem. Personally I'm very pro emulation, but when it comes to piracy I would prefer it much later on in the switches life. I also find it much more rewarding buying a game, but when your emulating Homebrew, its a service you can't obtain through other methods(VC is limited), and in many cases the games I wan't to play I own, and nintendo definitely make little to no money off the games. You won't for example find another way to play PS1 games off the switch.