Mostly because 4K is the standard for video content and game consoles, and on desktops it is fine for Windows users, who make up the majority of the market. The only people really clamoring for >4K monitors are Mac users due to Apples decision to standardize on 220dpi in macOS. That is a potential market, but it's a price-insensitive one, so the current gouging for monitors in that category probably isn't going to stop any time soon.
I don't think so. I'd love to have 8k or more panel at 27-32 inch. The reason is that I can easily see pixels from a metre away and it is annoying. I'd love to have more detail etc. for instance being able to display nice texture underneath my text editor so it is more pleasing and easier to read.
The cables and ports for 5k120hz barely exist at this point (it needs displayport 2.1 uhbr13.5 or better, which only exist AMD's 7000 series GPUs at this point). Dual cable solutions always suck so everyone tends to avoid them.
32" is large enough that you can get away with 100% scaling and have much more actual workspace instead of increased clarity. It's not really until you get to the 15" or 17" laptops 4k starts being about high DPI and in that space the MacBook Pro screens actually overshoot the target a bit.
Because most people pick monitors by size, not resolution and PPI.
4K is also popular because it fit within the capabilities of common HDMI and DisplayPort ports on people’s computers and cables.
If you try to sell a monitor that doesn’t work well out of the box with the average laptop, it’s going to have an extremely high return rate. That’s why display resolution will always lag behind the common capabilities of your average HDMI port on a cheap laptop.
I had one, Dell's UP2414Q. It was a piece of shit, mostly due to requiring multi-stream transport to run in 60 hz mode. So you'd get a GPU driver or OS update and the screen would stop working. Sometimes the panel would split in half and one of them would black out or shift its content sideways so there was a seam in the middle and a piece of the edge wrapped around to the center. Would not recommend.
The ones afterward that got rid of the MST requirement might've been better. Pixel density was great.