Your first statement is ironic because the SatellaView is literally internet downloaded games. It used satellite internet. You also didnt need anything other than the peripheral and the included software disk. It downloaded and stored the games locally.

That being said its not entirely related to the question of downloaded games on the switch 2. SatellaView games were all free. The service was free. You just paid for the peripheral. The games were a variety of stuff, some that were minor modifications of existing games, some that were basically leaderboard based challenges, and some that were actually pretty fully fleshed out titles based on existing franchises.

The voice acting bit youre remembering is true, but the games themselves were still downloaded via satellite and stored locally on the peripheral.

that you downloaded the actual game from local corner stores (like 7/11)

No, games were broadcast via satellite modem - hence the name.

The live radio dramas were only part of a few special event titles, but there was a lot more on the service, including standard downloads of both retail games and Satellaview exclusives.

Both the Satellaview and its competitor the Sega Meganet allowed for direct downloads. As did the US version Sega Channel.

that 7/11 thing existed but it wasn't the satellaview. it was a program they made to sell off older games for older consoles until 2006. The name of the program itself escapes me however.

What do you mean? Nintendo decides what options are available for their console and how much they cost.

They could have made both card options cost the same. They could have more than just a 64GB option at different costs for larger or smaller games. They could have made it a requirement that the key carts are only able to be used if the game doesn't fit on the options with storage.

There's a lot of other options than just making the objectively inferior option significantly cheaper.