Comment by ad_hockey
Not just Nintendo. The PlayStation 4 controller had that touchpad in the middle that also clicked in to act as a button. I played a lot of games that used it as a button (usually to open a map, or something) and don't remember a single game that used it as a touchpad.
Microsoft is somewhat to blame for new controller features being underutilized because they're extremely reluctant to add anything to the Xbox controller. Motion control in particular stands out, the hardware isn't expensive and it's proven to be very useful in some types of game, but the lowest common denominator Xbox controller still doesn't have it so multi-platform games can't be designed around it. Especially multiplayer games with crossplay since you can't let some players have more precise inputs than others.