In my opinion it would be way cooler if it actually created a real Linux desktop environment instead of only a replica.

Would it succeed? Probably not, but it would be way more interesting, even if it didn't work.

I find things like Claude's C compiler way more interesting where, even though CCC is objectively bad (code is messy, generates very bad unoptimized code, etc) it at least is something cool and shows that with some human guideance it could generate something even better.