Indeed, there is no free lunch.
At is stands, this is only really workable for low traffic (so it doesn't eat memory) where connections do not come and go frequently (so it doesn't eat process management CPU).
Once you start doing multiplexing for the sake of making this more reasonable in terms of resource usage, the simplicity benefits kind of fall away as you move closer to a full concurrent web framework.
I guess it really depends what you're tuning for, what your use case is, and how much hardware budget you have to throw at the problem.