I think you're spot on. For 99% of the use cases, traditional threads are the way to go. It's only when you have a truly massive number of logical threads (>100k, or even >1M) not doing anything most of the time, that OS threads reach their limits due to their aggregate stack size. In other words: web services, where each server thread either waits for input from the client or for a database reply, and only if they have to handle hundreds of thousands of concurrent clients.
This is not a concern for most Rust users, but it is a concern for large companies that are potential patrons of an up-and-coming programming language. I'm not saying it's wrong to cater to their needs, rather that it's not something over which regular Rust users should lose sleep.
You're right but even most big players can probably just use threads. If you are serving 1 million clients per VM you are probably taxed for other resources besides threads unless 99.99% of your clients are guaranteed to idle.
This is not a concern for most Rust users, but it is a concern for large companies that are potential patrons of an up-and-coming programming language. I'm not saying it's wrong to cater to their needs, rather that it's not something over which regular Rust users should lose sleep.