This was way more confusing than it had to be.
TL;DR: You can lend your digital games to friends & family for 14 days, but both consoles need to connect locally to enable this…(?)
You can’t play digital games you’ve lent out during this time. I guess the point is making it similar to giving your friend a physical game cartridge.
Sounds like it’s no more DRM than the limits of a physical cartridge, right?
You have to authenticate online on both ends, and it maxes out at two weeks, so no.
The two weeks are only for sharing across accounts in a family, if you’re using the same account across two devices there isn’t a time limit. You could already play your games on both but before the secondary device needed to connect to the Internet every time you launched the game, and now it’s just when loading.
Hey, I’m sure it solves a problem for people, but the easier solution is still just the absence of DRM, as much as Nintendo would not like to do it, and it introduces exactly the kind of complexity that Sony mocked 12 years ago.