I wouldn't say so. There are more ITX/mATX mobos each year and more users are interested in SFF. The only problem is to put everything on a small PCB so all depends on used chipset and if manufacturers want to waste time on expensive project.
There were a lot of ITX boards for Intel CPUs from every brand, also for the AM4 300/400 series. Each generation in the last couple of years there were cheap and expensive motherboards. There was even the X299 ITX mobo. X399 couldn't be installed on so small PCB, but it was released on the mATX.
300/400 chipsets were not designed for 3k Ryzens. When AMD released them then they didn't know full requirements of new chips. In theory, it should work but in reality, a lot depends on the motherboard design and manufacturer. Some care to fully support older products, some want to sell new products.
I have no idea why AMD is waiting with lower 500 series chipsets. They would already sell a lot of motherboards (maybe not them directly).
On the market are barely any ITX mobos on the X570 chipset because of how hard is to make it compared to expected profits. The X570 heats up a lot so not all manufacturers decided to release ITX size boards on this chipset. There is one ASRock - a weird design that has problems with cooler compatibility, and one Gigabyte. Actually, I was surprised how well it works as most Gigabyte boards that I was testing in the last two years were disappointing. ASUS decided to release one Strix in ITX size but I haven't seen it in stores even though was on the list 3 months ago. There is also one STX ASUS which is pretty much ITX with wider PCB by 1 PCIE slot. Except the Strix, I had a chance to test all of them so if you have any questions then just ask.
From mATX X570 boards there is only ASRock which has mixed reviews.
It's officially out and looks like already with an additional fix as mobos get 1.0.0.4 "patch b" AGESA. I see no difference on my ASUS but it adds new APU support or maybe is fixing some issues with APUs.