It's just a small part of a larger problem with the Nintendo Switch Lite; this console is a multiplayer-oriented device that has been segmented off to focus on single-player experiences.
The latest variant of the Switch will still have a headphone port but no Bluetooth headset support, which is a bummer for players who wish to connect wireless headphones on their console. Nintendo Switch Lite can play games in the Switch library that support handheld mode, and if the game requires Joy-Con controllers, players will have to buy those separately.
The Switch Lite also doesn't have a kickstand, so it can't be used in tabletop mode either. The Switch Lite is available in three colors: yellow, turquoise, and gray.
No, I'm not here to say Nintendo is doomed or the company is in freefall.
Between various Nintendo Switch bundles and deals, and of course the impending Amazon Prime Day, you can actually get a Switch quite a bit cheaper than that launch price now, but we'd also expect the Switch Lite to come with bundles to cut its price down too. Nintendo hasn't yet commented on if it could release new versions of existing Labo kits that are tuned to Switch Lite's new specifications.
The directional buttons are the main reason I nearly never play my Switch without my Pro Controller, and they're demonstrably inferior to a traditional clicky D-Pad in every conceivable way - so much so that players quickly took to modding a proper D-Pad onto their Joy-Cons shortly after the Switch launched. The screen is 5.5 inches in diagonal and the batter life will last 3-7 hours. "Now consumers can choose the system that best suits how they like to play their favorite Nintendo Switch games". For example, Mario Tennis Aces' Swing Mode, which allows you to play with motion controls, can not be played unless you connect a Joy-Con controller.