I suspect Nvidia simply wants a more widely supported upscaling solution that doesn't require RTX technology or big developer buy-in, but based on the press briefing we had, DLSS and techniques like it are clearly the way forward - hence the release of ICAT. However, these solutions tend to work better on consoles where the player is much further away from the screen and where it's often integrated with dynamic resolution scaling. At the most fundamental level, these scalers can do a fairly decent job at very higher resolutions, depending on content. We also spent some time talking about Nvidia's recent software based upscaling solution - spatial-based, like AMD's FSR with similar drawbacks in using it.
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