Can anyone tell me where the progress in audio went?

You want progress? I look at the Yamaha R-N803… to me that’s progress. For under a Grand it has a very good medium powered amplifier, a full streaming device, even a broadcast receiver.  Furthermore it has a room correction system and volume adaptive EQ to compensate for lower listening levels. Ivan Berger reviewed it when it came out and compared it to a stack of separates costing far far more and came away raving about its SQ as a pure amplifier, not just for the price.
Unfortunately, it has been discontinued, putatively because the chip supply is in more demand to make higher volume items like AVRs and keyboards. A successor will eventually be introduced. This kind of product flies way below the radar of this forum’s readership, but is a good example of audioamp’s point.

BTW, I don’t own one of these…my latest acquisition is a custom made new Dyna ST35 (EL84 based amp with 17.5 watts/ channel). 

So the demo track proves they could do the rhythm section. What about soundstage? Vocal/instrumental positioning? Air? Banging, much as I love it, hardly provides a convincing demonstration.

When i was in college it was everybody's goal to have a stereo in their dorm room.  Stereo Systems sold like hotcakes, about $600 could get you a speakers, receiver, and cassette deck ($300/$200/$100, borrow someone else's turntable to turn your records into cassettes), especially on president's day when everyone took their tuition money and sliced off a chunk to purchase a stereo. Then portable electronics (walkmans) started to destroy that trend in the mid-80's.

If my sons are any example, most listeners today use a cellphone and airpods or headphones they stream audio that they don't own.  I think this has applied huge downwards pressure on the home stereo market.  There is really no reason to have a home stereo system when any song on the planet is 30 seconds away on youtube or soundcloud. 

hard to have progress when your market is all old people . just not enough interest in hi end audio from the younger generations, yes there are a few outliers but as a whole our hobby is aging out of relevance. 

It went beyond a Youtube video of percussion only, and now can now reproduce a full spectrum from f music. 😜😂