It's definitely better than it was (at least they're trying to emulate nonlinear filter response now! Embarassing how long that took, considering that no analog filters have ever had a linear response curve.) Still, when you have to throw a 2GHz CPU at something just to get an acceptable result, I'd have to maintain that real hardware is the better option.
I totally agree, the problem with the PC world has always been write the code....when a faster CPU comes out you can do more useful things with the OS.
The best way to go is always real hardware, SID problems aside playing C64 games on VICE using PC keyboards sucks because unlike C64 keyboards you can only press about 3 keys at once in certain combinations..........so on some games you can't move diagonally and fire at the same time hmmmm And playing Vanguard conversion in WinVICE will probably not work great as I am using the same fire controls of the VCS version in my C64 conversion!!
Sadly C64s just stop working if you don't use them regularly (even then they do but not quite so often) so there needs to be a solution for the future because few of the 30+ million C64s/128s sold still work today.
(sorry to OP for going off topic)