Minimum specs go up with PCs so your argument doesn't hold. We've also had some professionals speak candidly about not liking the Series S because it creates unnecessary challenges for them and makes them dial certain things down in design due to difficulty with optimization for it.
For consoles the whole point of a new gen is new hardware that is significantly better than previous hardware and that raises the bar for everyone. The Series S being tied to old mediocre hardware is holding back next gen gaming. I don't know about you but I buy new consoles to not only play new games but to get experiences that were impossible in previous gens. Another cool thing about new consoles is that they raise minimum specs on the PC side, as the consoles are usually the lowest common denominator for multiplatform games. Higher console specs mean higher minimum requirements for PC and more complex game worlds for multiplatform games. I'm not trying to console war here but there's a reason why Sony can pull out a games like R&C that look incredible because it's designed for higher console specs and there's a reason why MS is struggling with Halo Infinite's graphics that's designed to run on everything from XB1 to potato PCs and the Series X. If Halo Infinite was targeting the Series X hardware as its baseline I'm sure it would look way more impressive than it does now. Hardware matters and there's a thing like lower specs holding back games.
yup
gtx 770 and 780 went eol just after 2 years they were released. i'm serious. go check up 2015 fall and 2016 game benchmarks, they struggle big time. why? because developers had access to 4-8 gb vram gpus. and they didn't care single bit for 770 and 780. you could turn down the textures all the way to the bottom, and you would still get big stutters. so pc users moved on, and bought new shiny gpus.
in 2017, ac origins put the 4 core/4 threaded i5 cpus to the rest. a huge amount of gamers were on these cpus and suddenly with the influx of multihreaded games such as battlefield 5, cod and more, everyone moved on.
in 2018 games, you were practically doomed with anything below 7700k. and then came the 6 core i5. 6 core r5. specs increased. people moved on
people act like games run fine on old hardware. they simply don't. even having an outdated architecture will hamper the performance big time.
besides series s is not even equal to midrange gpus. midrange for 2021 is rtx 2060/2070/rx5700xt
series s could be considered midrange for 2017-2019. the times when a 1060 and rx 580 was midrange has long gone. these cards cannot push 1080p 60 fps anymore. and series s won't able to as well.