Hybrid is just a different tradeoff. You typically get a little more grain but not much assuming you're using a proper film scanner not some cheap flatbed. My Nikon 8000 has slightly less resolution than my RZ67 but it's good enough to make grain-free 40" canvases from chromes. Hybrid also means you get automatic dust removal (from colour film) and the ability to tweak curves, contrast and saturation to your heart's content. Arguably I get much better colour fidelity from hybrid processing, I do the wet printing because I enjoy it.

Commercial labs exist to make money. They can do a scan for about $10 of their time and print to 16x20" for about $2. That's much more commercially reasonable than the same $2 of paper and most of an hour for a technician to operate the enlarger. Plus the adjustments are free and previewable. 99% of customers would rather pay $20 to get a scan+print that comes out exactly like the on-screen preview and probably as sharp as their eyes can perceive, than spend $100 to get a print that might be 1% better in resolution with a good chance of not getting the colour they wanted. The former is a commercially viable operation, the latter is not.