Well, there are certainly still a lot of problems. Unlike computer games, VN's get barely any media coverage. And there are usually no standout lighthouse titles that could expand the scene. We still rely on the occasional oddball like Nekopara or Doki Doki that for some reason manage to get more attention. And due to their explicit content, they are usually more difficult to talk about wih other people.
And selling those titles is still a problem. While it's easier on Steam than in the past, many titles have to split the adult content into a separate patch or don't make it at all on Steam. And not everyone likes buying incomplete versions that require additional patches. And in addition to that, there are 'regional restrictions' *sigh*. German Steam blocks every adult VN by default for years now that can be bought in the US and other countries without problems. Sometimes even if the adult content is split into a separate patch for whatever reason. Like Hatsuru Koto Naki Mirai Yori for example. I'd really like to buy it, but since it's only available on Steam and Steam blocks it in Germany, the only way I could get it, would have to be to pirate it.
Another problem is that VN's usually are a significant time investment. So, many people probably won't buy more than they can read. Other than me who still buys almost everything I just want to read at some time, leading to an ever growing backlog.
On the other hand I'm kinda positvely suprised how many VN's we are actually getting in the west. Thanks to strong newcomers Nekonyan and Shiravune (relative to MangaGamer, Jast and Sekai at least) in particular, we do get a decent number of titles translated. And we actually do get a lot of the good ones.
What the publishers could definitely do to improve the situation, is to improve the shopping front. An English Getchu variant where I could get ALL titles would be great. Nekonyan at least sells their titles also on MangaGamer, but Frontwing sticks to Steam and if Steams blocks the title in my country, I just can't get it. I'm also unhappy with Shiravune's Johren which feels unnecessary complicated in almost every way. I couldn't even find a way to filter out untranslated VN's when browsing titles. And the one title I once bought made my Windows Defender go crazy.
I also see AI translations as a great opportunity and unlike others, I see it as a great way to make work easier for translators and not as a threat to them.