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I don't encode in AV1, I use HEVC. But while your argument is not unreasonable, it misses the component of file size and amount of disk space required.
HEVC (x265) takes half the space of x264. While it does require a more modern GPU, it can be run on lower powered Intel CPUs with an integrated GPU just fine, so long as the CPU is new enough. Though it can only handle 2-3 streams on a CPU like the Intel chips in a ZimaBoard. So you need to choose wisely.
Person you responded to said av1, I didn’t mean to imply you did. HEVC is good balance and quicksync will handle it as you’ve said. 10th gen stuff will handle 4-5 at the expense of more power (but less than like a typical gpu build).
Last statement you made is critical - usage dictates build
I guess it's a platter vs energy cost thing. For me it's way cheaper to buy more storage for my little puck PC that can handle ~4 streams at 1080p and sips power.
In some scenarios, it can. Generally I'd say it's about a 20-30% reduction in size.