…the SSPX consecrated four new bishops in direct defiance of Pope Leo XIV, who had urged the SSPX to hold off for the sake of the church's unity.
    
    In a decree, the Vatican excommunicated the four new bishops and the two bishops who participated in the ceremony.

It seems like a better power move would be to excommunicate the two bishops that performed the consecration ceremony, and not recognize the consecration.

In Catholic sacramental theology, bishops always inherently possess what it takes to consecrate and ordain men to Holy Orders. It is part of the doctrine of Apostolic Succession.

What is disputed is indeed the jurisdiction, and the permission/mandate that must be obtained to do this thing. The Holy See is recognizing here that a valid ceremony took place, creating valid episcopal orders, but illicitly, and therefore they are forced to announce excommunications.

Without jurisdiction, you see, SSPX cannot validly witness marriages, or absolve sins, and that is hotly disputed by them, for obvious and subtle reasons, but they can indeed baptize, confirm, and celebrate the Eucharist with illicit impunity, just like any vagante bishop.

The other nuance is the latae sententiae nature of the offense. The headline is wrong because the mainstream media needs more drama and Rome-hate. The men all excommunicated themselves by the act, and it was not a juridical act by the Pope, just a finding of fact. It's the same with abortions.

The third nuance is that "the Vatican" and Holy See are distinct entities, but it's so exhausting to explain this.

But it looks like SSPX this time really has crossed the Rubicon, because the Holy See has also declared formal schism, and that's even worse, and it appears that the lay faithful are under sanction, which is unprecedented. Anyone who registers or volunteers as a formal parishioner of SSPX is subject to schism and excommunication at this point. That's chilling. I know a lot of people who have difficult decisions to make now. But nobody can say they couldn't see this coming!