I would say that the majority of woodworkers are not taking the extra time to rub out finishes to get to a high gloss - or even rubbing out at all. For them, waterborne finishes are great. They dry quickly (two hours between coats), allow you to get multiple coats on in one day, and clean up really easily. I've been spraying the General Finishes High Performance for several years on the furniture that I make. I love it. But I also am not looking to rub out the finish when I use it.
However, if I am looking to finish a humidor or something that I will want a high gloss, mirror smooth finish, or to pop grain, I wouldn't reach for the waterborne finish. I would go to Lacquer or oil base.
So I guess it really depends on what you are wanting from the finish. I really like the ease of the waterborne finishes, the fact that it dries very quickly means I don't end up with many 'dust nibs' in the finish, and the fact that I don't need to deal with the odors for several days while I wait for the finish to cure. Once I get my last coat on, I will usually let it dry overnight and then lightly sand with either 320+ grit or a grey scotchbrite pad to get a really smooth feel.