For some good reasons and some bad ones, the HTML escape-code language was coupled to a shift from the time-sharing interactive terminal applications of MGR or the VT100 to a revival of the 3270 block-mode interaction model, which later got formalized as REST.
Paul Graham wrote some essays about the advantages of doing things this way late last millennium; they're worth reading if you haven't read them. It really took off about 20 years ago.
More recently spitting out HTML on stdout has largely been replaced by JS and the DOM because you can get lower interaction latency and higher bandwidth by running the app on the client, sending mostly just database calls and actions to a backend server.
It didn't work out. It turns out to be very complex to support modern UI, and making it async upped the complexity even more. I'm not saying this couldn't be done, but these days I'm much more interested in UI architectures where everything is in process and more tightly coupled.
I hope you get around to writing up your thoughts! I'd be interested in providing feedback on drafts if that would be useful.
My understanding is that X11 didn't need to be tied to the C libraries either, it's just that nobody actually bothered writing the appropriate library in anything else. But it's just connecting over a socket and speaking the protocol, so there's no reason that it has to be tied to that implementation.
(Although yes, there is something magical about just using stdout)
Definitely an interesting path-not-taken.
I don't recall, but I'd imagine it'd be identical to the Sun version re: window mgmt.
I looked at the source a couple years ago, and the Atari framebuffer pieces were still in there. All the same source tree.
Now run Xsixel (from <https://github.com/saitoha/xserver-sixel>) to run an X server that outputs to sixel graphics. In that X server you can run any program you would like, and its graphical output will be converted to sixels, printed to stdout, given to xterm, and then xterm will draw them.
Job done!
See <https://saitoha.github.io/libsixel/> for more information and tools, along with lots of screenshots.
FWIW, this was SUNY Buffalo. Where were you?