What are the potential implications of Apple's transition from Intel processors to its custom ARM-based chips on MacOS software compatibility?

In 2020, Apple initiated a significant shift in its Mac lineup by transitioning from Intel processors to its own ARM-based Apple Silicon chips, such as the M1, M1 Pro, and M1 Max. This transition aims to enhance performance and energy efficiency across its devices. However, this architectural change raises questions about software compatibility and optimization on MacOS. Existing applications designed for Intel's x86 architecture may require adjustments or emulation to run efficiently on the new platform. While Apple's Rosetta 2 plays a crucial role in translating Intel apps for ARM processors, developers and users alike are curious about the long-term impact of this transition. Will it lead to eventual obsolescence of Intel-based applications, or will it inspire a new wave of innovation in software development for MacOS?