One reason the IDN thing is so daunting is the work arounds are not that
bad. For instance, you can embed a backgroundless GIF into a web page and
have any ideogram link to a URL. That's nearly ideal in many ways.
only if you assume that people "nearly" always get domain names
(or things that contain domain names, like email addresses and URLs)
from web pages. in practice the contexts in which domain names appear
and are transcribed are far more diverse than that.
what you are saying, in effect, is that people who don't speak English
don't need to be able to transcribe domain names from other contexts.
Keith