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Cilium multi-cluster mesh is a bit different, compared to service meshes, and it's L4, so should be fine with eBPF / XDP based routing. From observability standpoint I'd go for pixie - it should work just fine with both linkerd and istio, instead of Hubble, and Cilium's Tetragon was missing policies about 3-4 months ago (needs doublec-hecking if they had introduced any).
I don't really think that it's a matter that is something CNCF can do about. We have kernel drivers, kernel virtual machines and in-kernel execution, alongside XDP offloading. And we have poll-mode user space drivers in terms of DPDK/SPDK with the respective, both network and storage, implementations. It's just SPDK is somewhat immature atm and is missing any meaningful, stable, FS implementation. DPDK/SPDK has a different take on traffic offloading, i.e. projects like Nvidia Aerial and Viasat/nhd exist. With Nvidia Doca DPU SDK in development things will become even more complex.