First, I think your estimate of which is the niche, High Performance Computing or all of personal computing (including PCs, laptops, smartphones, and the web) is not quite correct.
The entire IT market is ~ $3.5 trillion, HPC is ~ $35 billion. Now that's nothing to sneeze at, but just 1% of the total. I doubt that all the pieces I mentioned also account for just 1%. If so, what's the other 98%?
Second, there are actually many factors that contribute to software bloat and slowdown, what you mention is just one, and many other kinds of software are getting slower, including compilers.
Third, while I believe you that many of the HPC fields see some algorithmic performance improvements, I just don't buy your assertion that this is regularly more than the improvements gained by the massive increases in hardware capacity, and that one singular example just doesn't cut it.
The entire IT market is ~ $3.5 trillion, HPC is ~ $35 billion. Now that's nothing to sneeze at, but just 1% of the total. I doubt that all the pieces I mentioned also account for just 1%. If so, what's the other 98%?
Second, there are actually many factors that contribute to software bloat and slowdown, what you mention is just one, and many other kinds of software are getting slower, including compilers.
Third, while I believe you that many of the HPC fields see some algorithmic performance improvements, I just don't buy your assertion that this is regularly more than the improvements gained by the massive increases in hardware capacity, and that one singular example just doesn't cut it.