Hopefully WASM will fill that area, and browsers can go back to being browsers.

Not as long as the only way that wasm interfaces to the DOM is through the JavaScript layer.

It's worth mentioning that the friction to deploy a web app is nearly zero these days, depending on how complex it is.

As an example, shipping a macOS or iOS app, via official means, requires a lengthy review & approval process, upfront costs, buy-in into native languages with little to no use outside of these platforms, a limited selection of tools, and hard decisions about which version of the OS to support based on the features you need vs. the market share of older versions.

People (and teams) choose web development for the lower barrier to entry, and as a platform, browsers get products most of the way to their goals, and fast.

My preference is local first desktop applications. Sometimes it’s because I prefer files, sometimes it’s because native apps are more fluid and more egonomic.

What about for getting quotes on insurance? Or booking a restaurant? Or a flight or hotel? Submitting your taxes? Getting printable directions to a trailhead? Proving feedback on someone’s Figma document? Previewing a 3D model before getting it printed…

Is it your preference to install a new local first desktop application any time you wish to do any of these things?

That depends where the data and the logic all. If they only store the data, but I’m doing all the computation, it may as well be a local app (figma, the 3d viewer..) or at least have an API so I can build my own interface.

I’m not against Web Apps, but many take my browser as free real estate.

Shipping a macOS app doesn't require view of any kind, beyond notarization, which is just an automated malware scan and takes only a few seconds.