This would be great if Nintendo was genuinely concerned about encouraging the usage of a hostile platform. Sadly odds are that it cares about its brand way more than "those things" playing their games.

Nintendo didn't provide one [reason], but it's likely due to X's increased API costs

I don't think so. Even with the abusive costs the price would be rather small for Nintendo, in comparison with the advertisement of its games in Twitter. I think that it's mostly a "eeeeew, Nintendo has X integration? Nintendo must be fascist."

Either way it's a positive.

If you are absolutely locked in to someone else's service, then there really isn't anything you can do if they do something object able, better to rip off the Band-Aid now than later.

X Formerly Known As Twitter isn't functionally irreplaceable, and I do hope the higher up at Nintendo will realize the only way that the only way to make sure they have full control of their publishing platform is by owning it and start a Misskey instance or something.

What? What type of integration? I just wanna watch Plex and Netflix on there.