Nintendo, while aggressively litigious, do so to maintain the value and exclusivity of their IP.
Their games also never go on sale, and all sell really well over time, unlike many releases from other publishers.
The result is that Nintendo are able to release a solid cadence of high quality, first party games free of other forms of aggressive monetisation, maintaining the value of the games as art.
If we’re referring to restricting who can use your IPs as a form of quality control, I can see where you’re coming from. I fail to see how jealously guarding consumers from accessing games released years ago has anything to do with the quality of what they release today.
Yeah, like first party old games aren’t going to lower your quality for some reason