I'll try to explain:

In the past we only had text terminals without a graphical interface ~1990 (sh / bash / tty). so the display server (Xorg / formaly known as X11) was born. it's a piece of software that allows programs to not only print text to screen but to draw complex geometrical shapes. This allowed for gui programs that use frameworks like qt or gtk or motif... to draw buttons and shit using Xorg.

For having mutliple "windows" / "programs" running they invented a window manager, that drew a border around the windows with some min / max /close buttons and the modern gui was good to go. btw. the next step are desktop environments like kde or gnome but that would be too much for this post.

Back to display server (Xorg) and window manager (kwin, mutter, metacity, dwm, awesome, i3...): the design of xorg is super old and has many shortcomings like hdr, variable refreshrate or security: every window can read the contents of or produce input for other windows which is a nightmare for todays security standards.

So wayland was invented to use state of the art concepts and design. Here comes the big problem: State of the art concepts required wayland to not be a display manager like Xorg. wayland is more like a protocol that defines how to draw windows, resize and close them or how they are allowed to talk to each other. Since wayland is only a protocol+ the window manager now needs to do the heavy lifting of coordinating this protocol, drawing and stuff like that, which in turn results in way less window managers that support wayland because they are complex as hell.

Since modern software needs to support a heck of a lot of different ways for applications to interact with each other rewriting these functionality for wayland needs time. thats the reason desktop sharing/recording or muting your mic with a keyboard shortcut when the webex window was not in focus wasn't possible at first. new solutiones needed to be developed for that (pipewire for example). Many programs would run in an xorg window that was implemented as a wayland window (xwayland) which made transitioning to wayland much easier but introduced new problems.

At the moment we are in a transitional phase. many programs already work without problems, but many software still require features wayland doesn't have and might never implement. Everyone needing that software is hating on wayland. everyone needing variable refreshrate, fractional scaling or security prefers to use wayland. And the fighting begins.

Disclaimer: There might be errors, simplifications or misunderstandings on my side but thats the way i understood if. Feel free to correct any mistakes on my part.