The whole idea that players can't handle a few misses is baffling to me. That's like saying fans in the NFL can't handle an incomplete pass, all most fans remember is who won and who lost. Fans will even forget fumbles and interceptions if their team wins. (Maybe it's because an incomplete pass isn't always an incomplete pass, the chance for an interception is exciting).
HP-bloat does have the benefit of ensuring combat won't take too long, so it's not just about avoid save scumming at least.
The big difference is that playing a solo video game is not a competition...
That's a fair statement. It is true that the human side of the DM is gone in a videogame setting. A miss against a human being can feel more respectable than a miss against AI.
I've been more focused on the other side of my statement. That the human DM will make low-rolls not feel bad. While for the current meta in BG3 a miss is always not getting what you wanted.
I believe how Larian adapts to the lack of a human DM, will be the difference between a good and a great game.
As your friends, I also restart a battle when a single character die in FE : Three houses^^