There are still issues with WearOS, but I think some of that is hardware. Last I heard, Qualcomm's wearable SoCs were trash, but Samsung is in a good position since they have both the SoC fab and make the watch itself.
Many industries are shifting to a model where Android is the de facto OS for consumer-facing interactions. It's not well optimized outside of phones yet, but it is rapidly improving. Many cars run Android now, for example.
I'm moderately optimistic about the next generation of WearOS devices.