Esp32 emulation in the browser is an incredible superpower for hardware manufacturers.
You can put your hardware product, with a pixel perfect display and sound, directly into users (virtual) hands so they can try before they buy.
There's no real cost to you, since their web browser and computer provide all the horse power, you just serve it up as a static web page.
In the age of AI, a moat for hardware companies can be network effects through providing an AI friendly base that your users/players can build on.
For us that takes the form of an open source app store where players can extend their device using AI ("Hey Claude, make me a game like this one, except that a giant bowling ball with our company logo embossed on it should drop and roll down an Indiana Jones styled marble run").
It's hard to overstate how powerful it is to have users trying your device, navigating the menus, extending it's functionality themselves with AI, all on their own computer, creating games for others, all without even buying your device.