I can see your point, Jim. However, the way I was trained, when working on basics, or waza, or forms, we maintained 'classical' form, with hands chambered (way up high for us) and wide horse stances. However, my instructor always ensured we didn't spar like that. He would try to teach us to be light and mobile on our feet. Show us different variations of more effective fighting stances. Explain the difference between the traditional punch, and say, a boxer's punch. I guess some of the student's may have found this confusing, but I never had a problem with it.
Personally, planted positions never has really been a problem for me. Though I had trained extensively like that, I don't root myself when sparring. I do think my footwork could be more 'alive'...particularly in breaking away from too much linear movement.
In the long run, again, it all depends on the instructor and the students.
As for forms, I like doing them as puzzles to pry out techniques and principles. Not only my style's forms, but others I've learned along the way. I look at it as an intellectual exercise. Also, the kata of Okinawa-te are quite long compared to, say, Shotokan or TKD kata, so they are excellent workouts!
Cthulhu