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Seems like since it's not _really_ a Pro, is there really a market for this particular model? Enough Touch Bar fans to purchase the last remaining model that has one? Otherwise, why not get the Air?
I assume they have some enterprise commitments to deliver MBPs on an annual basis to for a while. They might need to keep the supply chain running because it’s shared with iPads? Or maybe people do like the model more than we assume, it kind of makes a strong “Pro but fun” statement that works for casual users.
Some people are wired to get the new X every year, especially when it comes to Apple stuff.
If you have workflows that require sustained throughput, you need a fan and the Air is fan-less.
But there is the more up to date 14 and 16-inch model with a better keyboard, 120hz screen and updated chassis. This one seems to be some sort of thing to simply hit a price point for the entry level "pro" model. Faster charging, better display and fan for sustained loads, otherwise exactly the same.

Or to satisfy the needs of the few who actually do use the touchbar and don't want it to be abandonware after just two generations.

I looked into this for the previous generation which had a similar confusing overlap.

In the end I got the Air but I believe there may have been screen differences that might matter to 'pro's in the digital media industry and more options for ram and disk uogrades.

Even if there are a large number of customers who are vocally against the Touch Bar, there are still many apps and workflows which have made it part of the regular ecosystem. Imagine also those in media industries who only started using Mac after it was introduced; they won’t have as much reason to care about the change, only the features/flexibility which it gains them.

Anecdotally, friends are pretty evenly split on whether they like it or not but by and large none really care that much. Give them function keys, they’ll use them sometimes. Give them a touch bar, also… sometimes.