They haven't so far.

Don't they include the firmware updates on the game carts now?

Those do typically come with the firmware update bundled in the cart.

Ironically this is a security measure because it also closes security loopholes and jailbreaking exploits.

Of course for that you need a cartridge that actually has something in it or whatever, but that's the idea. You're more likely to have a firmware update in a physical game than the full playable game.

Checking, downloading and installing irmware updates is the only thing that works on a banned console. Of course they are not allowing it because they're nice, just because they want to close eventual exploits

Untrue, full console disabling is possible rendering it unusable for any content online or offline

That is until the console is reset, at which point you need a valid account just to boot into the launcher.

The vast majority of games require being online at least once to run. This is enough of a loss if function to be considered unusable.

False, too many games require internet access for the first start to download the actual games

Banned console = you can only play 1st party games as almost all 3rd party devs ship empty cartridges with no game inside