Great writeup! I couldn't agree more.
I've been thinking about this a lot recently, because GPL was meant to ensure that vendors couldn't take OSS, turn it into closed source, and use it to extinguish the OSS.
As JS-writing eng I live in an MIT-native offshoot of the OSS world and for us the ratchet that ensures we always get more and more free software is basically the fact that when your product is a script run in a scripting engine you can't ever truly hide anything.
Since we have an alternate ratchet that has proven that it works to increase the amount and quality of OSS (over a 20-year time period), the GPL does seem as you say: a relic of times when we it seemed like software might only be a hobby.
I'm writing a VCS kernel, basically, and its cost me the last 5 years of my life. My code is MIT. Do I have to think about the dangers of embrace-extend-extinguish? Yeah, but having the best product is a very strong defense, and building the widest coalition of supporters you can is how you get there.
To be more clear: my strategy is to eliminate the room that could be used to undercut me with more virulent technological or techno-social solutions.
GPL would not be eliminating the room to undercut me with a slightly more viral clone of my product, but rather creating more room to undercut me. This is a real problem for a piece of software the value of which is in simplicity not complexity!