I do think RSC and server side rendering in general was over adopted.

Have a Landing/marketing page? Then, yes, by all means render on the server (or better yet statically render to html files) so you squeeze every last millisecond you can out of that FCP. Also easy to see the appeal for ecommerce or social media sites like facebook, medium, and so on. Though these are also use cases that probably benefit the least from React to begin with.

But for the "app" part of most online platforms, it's like, who cares? The time to load the JS bundle is a one time cost. If loading your SaaS dashboard after first login takes 2 seconds versus 3 seconds, who cares? The amount of complexity added by SSR and RSC is immense, I think the payout would have to be much more than it is.