What exactly is nontrivial in parsing XML? Any popular computer language has plenty of libraries for working with XML.
There's no place for XML in iot, and definitely no place for XMPP. Even json is luxury you often can't afford, not if you want to make a reasonable cost target or battery life.
Why you might want it? Well, maybe for the same reason any home router has a built in web interface (despite all the overheads of having a kinda webserver on such device) - for user's convenience and interoperability.
And yes, stating that JSON is somehow better than XML for such cases is just... wrong.