In general, I like the idea of there being restrictions, limits and difficulties with patches. Patches seem to get abused these days to 'meet' deadlines by shipping incomplete products. In the case from the op, I'll preface that I'm not too informed, but they're saying that essential elements (online mode?) are missing from the initial release? The real issue seems to be their publisher giving the greenlight and forcing the game to release too early.
But, as much as I dislike patches (that aren't critical bugfixes), they're the reality we live in. Would be great if it encouraged creators to release products that were more complete. Given the landscape though, what it will actually do is prevent Switch players from getting game enhancements, and discourage third parties from even doing Switch ports. So in that sense, yeah, seems like a pretty dumb rule. But there are probably also tech aspects that deal with how the system handles games or something.