I agree, the only reason LSP exists as it does is for a world running on electron based applications. Plug-ins and application extensions are not new technology and they are nearly universally more efficient in the forms designed and used prior to 2005-ish. I understand why VSCode exists and why it is used so often by developers, but it is certainly a downgrade from more language specific options that could exist.
There are some arguments that do carry water in favor of using a client/server protocol transmitting JSON, in particular, the ability for a nearly complete decoupling of analysis of code and the displaying and editing of that code. Also, LSP was (to my knowledge) the first language/platform/usecase agnostic protocol intended for use in code editors.
I get why this is where a big chunk of developers have ended up, but I do bemoan the lost potential for a language to grab mindshare and popularity on the usability and performance of its tooling and developer experience via-a-vis a custom designed and hyper specific code editor. I mean, Rust and Elm received endless praise for their error messages as a massive boon to developer experience, so it is a facet of language design and implementation that can act as great advertisement. I just hate that the prevalence of LSP at this point precludes custom editors as a first choice in the current zeitgeist.