Breaking up a word into multiple tags is very different from inserting invisible extraneous content into the middle of a word. The latter is what I'm questioning the usefulness of; the former I can see as occasionally useful, but should be avoided when it breaks screen readers and search engines.
Take a modal for example - the text is not visible until the modal is opened. Let's think about menus that display on hover - they wouldn't work. What about tooltips or other sorts of floating label type things? What about other text that only appears on hover, or when some action is performed?
Sure, you could wait to insert these things into the page until the last second, but it would be less performant and complexity would be higher.
If you saw what the web looked like without display: none and visibility: hidden, I think you'd change your mind. There are infinite applications.
Aside, this reminds me of the brief period of time where "hacking" SEO by pasting huge volumes of keywords in text the same color as the background and/or hidden by other page elements was a relatively common trick. Search engines simply switched to more sophisticated methods of page ranking, I wonder what change could be made remedying this which would be similarly non-disruptive outside the bad actors.
We've long had the ability to set a minimum font size, but I suspect browser vendors have viewed that purely as an accessibility feature.
(Tangent: I've also been increasingly disappointed that browsers let sites make text unselectable. I understand that there was originally a use case, but I only ever encounter it as an anti-feature these days.)