I disagree. How could a system look much further ahead in a dynamic environment?

This is exactly why level 2 systems will never be safe. The constraints set the human up to fail.

"Level 2" is just lane centering + adaptive cruise control. There's nothing about this combination that "sets the driver up to fail". Some drivers like to pretend that the system is way smarter than it really is, but that's a case of "play stupid games, win stupid prizes". You can't fix that with changes on the system side.

If "as good as we can do" isn't good enough than it just isn't. If it can't offer enough time for a driver to reasonably take over then it can't meaningfully function in its intended role.

I'm not informed enough about this to say whether it falls under that threshold or even what that threshold is. But the limits being clear technical ones does not change the degree to which they are limits.

What I mean is, can you imagine any system that can see 20s (say) ahead in terms of other people's driving? It's an eternity.