The people who run into that wall and bounce off of it wouldn't be better served by Ubuntu, but an immutable OS. Fedora Silverblue, Bazzite et al.
Like the Steam Deck, too; though you're wrong about the OS's scope for hardware compatibility. SteamOS supports the Legion Go S officially, but also contains specific patches to support the ROG Ally which they have no affiliation with. Their intent for SteamOS isn't for it to stay on Valve hardware forever.
Obviously false. Rolling release distros like Arch require far more intervention. Why do you make up nonsense like that?
None of this requires some trial by fire bullshit on part of end users.
I ran a single Arch Linux install concurrently for 7 years before 2020 (i.e. before the rot took hold) and needed to use the terminal to fix things less than I ever did Ubuntu around the same time period.
I would suggest to look a bit more at other distros outside the arch bubble before claiming such an opinion.
You, presumably, are not new to Linux. You know how to fix your system. The users CachyOS is targeting do not. They will run into walls, get frustrated and leave.
I really couldn't care less that someone like you uses some Arch derivative, because they don't want to spend the 3 hours doing the setup themselves.
Just FYI,the Arch setup is as easy as setting up e.g. Debian, unless you are terminally afraid of using terminal UIs.