No. This is not correct. They can’t do whatever they want to.
You put a product on the shelves that meant to do a specific task/mission and advertise it. You list its minimum requirements on the box and on your website.
You can’t come up after a few months/years and introduce some new exaggerated restrictions via software updates that weren’t listed in the
minimum requirements after a lot of people already bought this product.
This is absolutely illegal. Nvidia made a terrible mistake and opened its front door for lawsuits from its customers and its rivals. They will probably revert it and remove these restrictions - for their own good.
If you bought a DVD player and it suddenly stopped working for no reason, then you are entitled for a refund/replacement. This fact covered by billions of legal precedences all around the globe.