@themanual4am It's very interesting to see your analysis, as always. :)
You understand NCA models very well, but let me address some of your uncertainties to make things clearer.
First off, both of these papers are models of morphogenesis where many cells each contribute to a whole by using only locally available information to change their own state (color). I think the purpose of this is mostly to explore the potential of computational problem solving using many locally cooperating agents rather than a global top-down system. It also explores robustness. Each cell can handle a range of noisy or atypical conditions and tries to reestablish a “normal” baseline.
NCAs are an early exploration of such a system. They still feel a bit like a toy. Generating emojis isn’t useful, but there are some practical applications for creative work, such as generating patterns, textures, and spatial structures for art, video games, or movies. There’s no killer use case beyond that yet, but who knows what’s next.