I think your are confused about what SNI does. SNI is not part of the request, and it does not indicate to the server which website is being requested (this is the HTTP Host header, still in use as a pseudo-header in HTTP/2 and HTTP/3).
SNI is part of the response from the server back to the client. The idea is that if an attacker somehow poisoned your DNS to point the domain of one legitimate site (for example, paypal.com) to another (let's say pastebin.org) - your browser would notice the mismatch and refuse to load the page or send any potentially sensitive data to the server.
Furthermore - there is no need for it to be sent in the clear. Cloudflare in particular has thrown their weight behind a proposal/protocol extension called ESNI (Encrypted SNI), in an effort that truly turned around my opinion of the company.