I honestly don't think it'll be used primarily as a gaming device on its own, mosty used to play the games on PC, without being by your pc. Ad-hoc/basic gaming would be done on this device, with the potential of high end gaming with local wifi, etc.It really should be compared with the Switch in my opinion. It doesn't make sense to compare it to the XSX or the PS5.
I am interested in it for emulation purposes though. Pretty sure it will do very well there.