Extremes are on both ends. Some people want to use a terminal for all, some don't want a terminal at all.
I'm a terminal guy because most UI I use is just unintuitive and requires a lot of mouse clicking - using mouse is just inconvenient to me. And often there are no tools for what I want to do, or rather, I'd need to open many tools to do something simple like change a file on a remote machine.
But I like a nice IDE, I use DB explorers, I use cloud code to write GUI for data processing and reporting visuals. Terminal is just a "killer app" that's useful for almost everything. So, if you're using regardless, why not make the experience better?
I don't think terminal multiplexers (even Zellij which claims not to be one) make the experience better. They make it worse, actually, because when you have a problem there's one more thing to keep track of: Your terminal emulator, your terminal multiplexer and your TUI.
A decent terminal emulator like kitty solves all of this.