FWIW, I use my M2 MBA on my lap, specifically feet propped on coffee table and MBA across my thighs, all the time and I never find it gets excessively hot or throttles. So I suspect the Neo would be similar. OTOH, I HAVE had my M4 iPad Pro cut out on me dt overheating when using it out on the deck in the sum (in Vermont not Texas or SoCal). I haven't really used the MBA in similar situations yet, so can't speak to how it fares on my lap out in the sun.
To answer OP's question, it sounds like the Neo would work well for you. I have recently supplanted my iPP with the MBA for content watching when on the couch or on the deck simply because it's easier to respong to texts and emails using the MBA keyboard than it is having to use the iPP/MKB combo--although that is admittedly a personal preference and YMMV.