Chinese factories have been doing this for decades already. I bought a 100 Games in One system at my local mall kiosk ten years ago that had an NES on a chip built into a game controller that plugged into the TV.
Given their place in the electronics supply chain, China has an incredible ability to clone hardware.
There were clones of NES/SNES when these machines were on the market I had a Famiclone in the 90’s, the games were also mainly bootleg.
Today you have pretty expensive high end SNES clones on the market on top of the 100/1000 games in one HDMI single SoC clones and Nintendo doesn’t seem to care.
Given their place in the electronics supply chain, China has an incredible ability to clone hardware.