Incidentally, around 20 years ago I purchased a copy of Bleem! at a Fry's electronics and some games to play on it (playstation was still a current-gen console at the time). I would not have purchased nor played the games if I had not purchased the emulator. This was probably not a typical thing to do but I don't see it as a fundamental thing that existence of emulators has to hurt software sales for a current-gen console.

I also think steam has proved that the way to beat piracy is to offer a better experience than piracy offers. I get headaches playing 3d content at 30 fps, I would pay double the cost per game to run first-party nintendo games on my PC at an unlocked resolution and frame rate.