Free yourself from the notion that a web browser should do anything more than browsing the web. native applications have existed for decades, no reason to bloat the scope of a browser.
You seem to demand that people ignore this reality, because you don't like it. This is not helpful.
I don't like this reality either, but despite that I find your statement also factually incorrect: "native applications have existed for decades, no reason to bloat the scope of a browser".
Of course there are reasons, otherwise people/companies won't do it, and users won't use bloated browser that give them no benefits.
I agree that downsides outweigh the upsides, but the upsides are obvious and immediate while the downsides are long-term and mostly subtle...
The reason is of course control. Things running in the browser gives Google control. That's why they push for everything running there. Want to compete with Google? Tough luck, no tracking for you while they give themselves IDs built into the browser. Do something Google doesn't like? Maybe your site isn't "safe" enough according to Google and won't be shown to users. Invested in your webapp but want to integrate something novel? Guess who gets to decide if you can?
Seeing a semi-technical acquaintance use in-browser software for daily productive work hurts my programmer's soul. It's alright for some light things, like vacation planning, but remote desktop or an IDE...
Then there's that other scourge of Electron-like apps with gigantic memory budgets and all. I have resigned to throwing more hardware at it when I can't guarantee a lighter replacement (i.e. in a work setting):
All my productive systems have 32GB RAM and 8+ threads now and with browser, Teams, Outlook, IDE and dev containers the air's getting thin again :/
I really dont want to see a repeat of phone apps for every company I interact with.