> Sure, if you're developing a SaaS you can stay on top of .NET versions but it's definitely causing friction for enterprise and slow moving regulated software.

You have a point, but I'd call out that migrating to newer releases can and often is trouble-free.

A couple of months ago I worked on a .NET Core 2 web service that was put on cold storage for a few years, and all it took to migrate it to .NET Core 6 was a few version number bumps and a rebuilding the project.

YMMV of course, but LTS shelf life might not be a deal breaker.