Hi, one of the revolt developers here, we wanted something contained and selfhosted instead of something federated, see https://developers.revolt.chat/faq/federation on why we dont plan on adding federation
However, saying that 'nobody actually wants it' is at the very least a little disingenuous. Transitioning to self-hosted and distributed systems is totally the way to go, but we're inevitably going to run into a systems problem. IRC struggled to reach the mainstream because of how fractured it was, and if you don't do anything to address that you're liable to run into the same issue again.
Not sure this is a good reason for not adding it, Element is not buggy at all.