Aikido has a handful of moves that are really useful in real life - but its true that most of them are too artsy to work in practice, especially on an opponent bigger than you.

Aikido has plenty of technique that has practical applicability in a real fight. The basic principles about balance and momentum are widely applicable, and the principle of using joint locks against a stronger or better armoured opponent is tactically sound as well.

The downsides of aikido as a practical style are the same as many of the more intricate/interesting martial arts: they are far from including a complete set of skills for real fights, and it takes much longer to be proficient enough with their intricate techniques to actually use them than it does to get competent in train-by-actually-doing-it styles like boxing, judo, wrestling, etc.

Aikido does have the added disadvantage that being entirely defensive in nature, you only learn to defend against the level of attack you train with. Unsurprisingly, people who train in an entirely defensive style don't attack well without outside influence, which can lead to unfortunate delusions like being able to "catch a punch" that would last approximately one session training with anyone skilled in any decent striking style.

Thanks for the laugh. I recall thinking when watching an aikido lesson: okay the teacher (who had 20+ years of aikido and of other martial arts) could use his aikido knowledge in a fight, the other(1) definitely not! And it could even be dangerous if they believed that they could use their aikido knowledge to fight, not that this is unique to aikido..

1: even those of who were black belt