Steve,
That's an interesting Q/A list.

Q1 is not really relevant as good percentage of young people are into EDM, Hip Hop and alike genres, which BIAB is not. Seems BIAB users are into Folk, Country, Rock, Jazz, Blues, Pop, R&B and similar. I doubt AI will do a deep analysis of that. So if a hypothetical "young" person are into genres BIAB has to offer, he/she (*they) will have no better option than BIAB, unless they want to simply be a Suno button presser.

Q3 part #4 will definitely be solved by VST3 if done right, with user friendly MIDI in/out to other plugins that sit within BIAB. Usable "libraries" would include all sample phrased Kontakt instruments: Guitars, bases, orchestral strings and even ukulele. All Toontrack second generation items and endless algorithmic and programmable MIDI arpeggiators and sequencers. But given that a User is at least somewhat interested in genres/content BIAB has to offer to create fusion tunes.

Q3 part#6 Is also strange. Ultrapak with most/all addons is ~150GB. In terms of money, that's only like $12-$15 on fast HD. , and if you are ordering actual disk from PGM, which I think ships on SSD now, that should not be an issue at all.

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Some interesting topics are touched upon. Musiocity, I think "Ghost Town" might not be a "bad" thing. People could be just doing their stuff. Spring yard work for one.