The idea behind layout builder initiative was to enhance content editing experience in Drupal CMS, since modern page editors are focused on being able to provide page customisation options all in one place. Layout builder provides content editors the ability to create content without the help of developers who would otherwise need to add changes to the theme before content editors can start their work. While layout builder is a nice idea, in practice it has its drawbacks that are leaving users with a feeling that this functionality has a lot room for improvement.
Starshot with Experience Builder initiative looks like they are going to leave layout builder behind, since they are developed in a way that non-developer users can build a website on their own from start to finish.
Pros:
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content editors are able to arrange and handle content customisation on their own;
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there are a lot of modules that extend layout builder functionality. Community support around layout builder is good;
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mobile responsive layouts and components out of the box;
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layout customization flexibility;
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site builder experience in which users can see how applied changes will look like in the layout page.
Cons:
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edit and layout pages need to be used to manage content instead of having it all in one place. To be able to edit content on layout page content editors are limited on using content blocks;
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layout builder doesn’t have translatable layouts. However, Layout Builder Asymmetric Translation can be used for content items, not for entity type default layout;
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out of the box sidebar for block and sections adding and configuration can be a bit small in some cases. Fortunately, Layout Builder Modal module can help with that by providing popup window for block configuration form which could be implemented in core module functionality;
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nested layouts should be one of the core functionalities of layout builder.
Conclusion
Layout builder is an easy to use and very helpful site building tool. Choosing layout builder will enrich site building experience for sure and provide all the tools that site builders need.
It is a nice idea and will help site builders until some better solutions are finished in Drupal like Experience Builder.