There are advantages to having a carbine and a pistol in the same cartridge. Besides sharing ammo, if you can share the mag, that’s even better. It’s especially useful for those folks who are wanting to downsize their life or consolidate calibers, etc.
Now, for my part, I have no interest in a 5.7 carbine or shorter barrel PDW in 5.7. My reasoning is that if I’m going to go into a carbine or PDW, I am best served, personally, with a 5.56 (or 300 BLK, but let’s keep it in the same .224 caliber bullets for this discussion). Once I upsize to a carbine, I personally don’t have a ton of advantage in sticking with 5.7. the 5.56 has more range, armor penetration, and ammo options, all at a lower cost, than the 5.7.
For my purposes, the sweet spot for 5.7 is the Duty Size pistol; something with roughly the footprint of a classic 1911 or maybe a G17 and has a 4.5" to 5" barrel. That hits the ballistics for the 5.7 that I want without crossing the threshold in size that makes me want to switch to a 5.56 carbine.
It is absolutely true that a 5.7 has less recoil than 5.56. However, out of an AR carbine, that difference is, frankly negligible. If you can put the butt of an AR into your crotch and pull the trigger without racking yourself (which you can with an AR in 5.56), then, in my opinion, there’s not really my incentive to reducing recoil more.
All that said, a 5.7 PDW or Carbine does have a cool factor and, I admit that I’ve bought guns before just because I thought they were interesting or neat even though they did have wonky and scarce ammo (I’m looking at you two, Astra 400 and Enfield No. 2 Mk 1* revolver!)
Further, I still kinda want a levergun in .45 Colt to pair with my SAA in the same, not because it fills a niche but, well, just 'cuz I want the pair. Maybe someday, I’ll get one.
So, for myself, while I don’t see any “point” to it in my arsenal, I certainly don’t begrudge someone else wanting one. There absolutely are valid reasons. They just don’t apply to me at the moment.
Peace favor your sword,
Kirk