It's just crazy. I didn't grow up playing much soccer since I played football pretty early on. Nonetheless I helped a little bit two years ago with my son's team and last year (U7) when the local AYSO was desperate for coaches I stepped in and did my best Ted Lasso impression. Now, headed into U8 this fall, about half the kids I coached are already moving into expensive travel clubs. Some of these kids have nice talent, but there's onto so many "top" kids who will get attention and the rest will pay thousands for that "product" just marginally better than the rec AYSO. Now I live in an area where most can burden that cost. But if that happens elsewhere that means the development just basically stops because kids just get priced out all together.
Rec league will carry on into U12 at least, but won't compete with the expensive leagues, and a lot of the kids in that expensive travel league will burn out because the cost puts a lot of pressure on it from mom's and dad's who see this massive commitment they're making for 8 year olds.
So on one hand accessible development gets its rug pulled out from under it from expensive league. Meanwhile the expensive leagues really don't excel at development either - they really just act as a segregation tool, so the competition is "better", but still not actually focused on development.
That said, the issue isn't just soccer ever becoming as popular as our other big sports, but at least for basketball/baseball/football there is still a lot of crossover benefit and playing multiple sports for as long as possible is still somewhat encouraged (though way less so that it used to be). In soccer, except for the true freaks of nature, early specialization is probably key. You can be an Erling Hallaand and specialize later, but you aren't going to build a roster completely of those guys. You probably need a deep pipeline of early specializers and early specialization here is just a rich kid thing so it cuts out deep parts of the potential pool.