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Yuzu developers agreed to pay $2.4 million in damages to Nintendo to settle their lawsuit
(storage.courtlistener.com)
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Nintendo went after a emu dev team that was actively (and demonstratively) enabling piracy for something they are currently selling. On top of that, the dev team is making significant money off of that work, to the tune of 30k/mo. Every other dev is probably thinking "finally, the other shoe drops on this obvious outcome", most avoid making money off it, and also avoid current systems, both for just this reason. The relieving part is Nintendo's argument isn't about the emulator specifically, ~~there's nothing in the injunction stopping yuzu from continuing~~, and a settlement means no legal precedent.
Edit: Read more, the settlement includes stopping development.
They were not actively enabling piracy at all. Piracy discussion was banned on all their platforms as well as any information on how to get software title keys illegally. They did everything right and were still bullied out of 2.4 million
Just because it wasn't being actively discussed doesn't mean that piracy wasn't an intended use of the software.
It's like the argument of, "this bong on my car's floorboard is definitely for tobacco, officer."
Yeah, bongs can be used for tobacco, but that's definitely not their main use case. Same with emulators.
By that logic all emulators in existence are piracy tools. In which case how brazen or not they are is irrelevant.
I don't think it would been won in court by Nintendo, but it was a big risk for them which accepting this causes them 0 issues, they only lose whatever the company had and no repercussion to them personally. Of course they lost their jobs...