[theshrike79]

The amount of people with two external USB-C displays isn't that large compared to the majority of users.

Also this must be some kind of Air-specific limitation. I'm writing this comment with an M1 MacBook Pro with two external displays (USB-C + HDMI) + laptop screen.

[weikju]

It is a limitation of the plain M chips. Pro and Max versions add an extra monitor or two.

AFAIK the M1/M2/M3 MacBook Pros (not with the M* Pro chips) also suffer the same limitations