I'm convinced that this is because of the prevalent MVP culture in modern software engineering. Instead of holistically looking at a new feature request such as "support webp images" we break it down into parts (e.g. "serve webp" "accept webp upload here" "accept webp upload there") and then we call it a MVP when only the highest priority items are done.
That doesn’t mean it’s dead, it rather shows sheer incompetence of the web dev departments of these wonderful companies for whom webp or avif aren’t images, I guess.