There are advantages and disadvantages to any technology. Right now image quality in some areas like higher contrast and image vibrancy and HDR brightness mini led IPS is clearly superior.
But there are also disadvantages to Mini led IPS over edge lit IPS and OLED displays. Mini led has an issue with response time and because it has such a slow response time it still leads to text blurring when scrolling despite the high refresh rate. It has blooming that many people on this forum have complained about. It also uses PWM and has flicker which cause a lot of people problems with eye strain and headaches.
https://streamable.com/i7iq6c Here you can see the screen recorded at 240fps in all levels of brightness. Near 0 brightness there are some weird banding going from left to right, is this PWM?
forums.macrumors.com
Oled is great but brightness is an issue. Oled also have problems with burn in and on a laptop where there are a lot of static images this could be an issue later on.
Over all I would say a high quality OLED display might be the best option but Apple doesn't seem to have plans for using those any time soon.
Also there are micro led screens which would most likely eliminate the blooming.
Edge lit IPS has light bleeding issues around the edges of the screen and backlight bleed can vary widely depending on the individual display. However the edge lit IPS displays in the M2 MBA have p3 gamut and are very color accurate. They don't use dithering or PWM so technically should reduce eye strain. IPS will never have burn in and has a much higher response time despite the 60hz refresh rate. The contrast on these screens is very good for IPS but IPS can't match Mini led or OLED.
Both Mini led IPS and regular edge lit ips are IPS displays technically. It is just the backlight technology is different so it is a bit of a misnomer to say Mini led is more advanced, etc. than IPS because they are both still IPS screens. It would be more correct to say Mini led IPS is better than edge lit IPS. Some people seem to think Mini led IPS is a completely new technology but it is just an improvement on existing technology.
I said mini led vs ips above because others were already using that terminology even though it is technically incorrect as mini led IPS vs edge lit IPS is the correct nomenclature.