> However, from my experience there is a cap on the 'bandwidth' at which you can sight read this. It is just too hard to mentally parse a bunch of numbers on lines and turn that into notes when playing at speed. (For non musicians, 'sight reading' means to read the notes and play fluently at the same time)

Sorry but this is wrong IMO. You've been reading sheet music your entire life, but you've only been reading tab for the past few years.

I've been reading tab for 10 years. I think in tab. There are a bunch of songs that I can't be bothered learning (sultans of swing, metallica songs+solos, oasis songs.. you get the idea) because I don't like them enough but are fun to play along with, and I do so with Guitar Pro playing the tab at full speed. It's basically like rocksmith/guitar hero but in "real life" mode.