Loop development has seemingly stopped

Now its becoming more clear how we ended up here.  Apparently, since the AI floodgates have been opened and its AI first for much of the business world, the mad rush to integrate AI into everything has consequences. 

LOOP, on its own, lends itself to be a convenient collaboration medium in Office365, merging SharePoint convenience with the likes of OneNote or TEAMS (as an analogy).  However in order for it to support AI, there is a huge challenge to make whatever content in LOOP become augmented info for AI responses.

If you ask Microsoft's own Copilot why the LOOP authoring features are so weak, you get a response like this:

Microsoft is prioritizing semantic structure and AI-readability over traditional document fidelity. Loop is optimized for chunking and modularity, not for complex publishing yet.

Note that Microsoft is also developing something called Copilot Pages, which uses the .loop document format. This is the conduit to making LOOP content augmented for AI.  So what I glean from the response is that machine learning of LOOP content is still being developed and is a higher priority than making LOOP nice to author in.

This is my take, I could be wrong, but just how I'm reading it right now.