What does HackerNews think of awesome-web-desktops?
Websites, web apps, portfolios which look like desktop operating systems
Before that was a neat Linux project Pyrodesktop (2007) which was an x11 window manager using Firefox guts to render. There was also a trend of trying to mate Javascript technologies to gnome back then, with efforts like gjs seeing some adoption. I don't know how popular it is, but a spinoff of css was/is used for styling in GNOME for a while.
These days there's tons of web desktop projects. https://github.com/syxanash/awesome-web-desktops . Only sort of in the spirit but i quite adore Greenfield, an html5 Wayland desktop/compositor. https://github.com/udevbe/greenfield
I absolutely think there is all-in potential for the web. I think we're missing a visible rallying point, where a stronger community of app makers can cooperatively advance beyond-the-web capabilities. Project Fugu & WICG help a lot but are also working with Safari (and sort of Firefox) handcuffed to them.