They are just different tools; both have their uses. I wouldn't really put either above the other by default.
> And it's like half the price on top of all that. It's not even close.
A reel of 3,400 RP2350 units costs $0.80 each, while a single unit is $1.10. The RP2040 is $0.70 each in a similar size reel. Are you sure about your figures, or are you perhaps comparing development boards rather than SoCs? If you’re certain, could I have a reference for ESP32s being sold at $0.35 each (or single quantities at $0.55)?
PIO units may be tricky to configure, but they're incredibly versatile. If you aren't comfortable writing PIO code yourself, you can always rely on third-party libraries. Driving HDMI? Check. Supporting an obscure, 40-year-old protocol that nothing else handles? Check. The possibilities are endless.
I find it hard to believe the RP2040 would have any issues driving WS2812s, provided everything is correctly designed and configured. Do you have any references for that?