Interesting thought. It’s already moved down-market from a week ago when our heads were filled with rumors of the new CX-50 “BMW-beater” LOL.
Yup. It's evident from this recent report that the premium vehicles with be the CX-6 or CX-60 or above.
As far as shoe horning goes, Kia seem to be setting the trend. In the US market, there's Soul, Seltos, Sportage and Niro squeezed together in length between 165" and 176". They're differentiated by a bit more room from one to the other, styling, ride height, available drive trains and other features and, of course, price. CUV's are becoming like the old days when cars were king--three mainstream sedan models (e.g. Tercel, Corolla, Camry) with coupe or coupes and maybe a convertible variation (e.g., Solara) tossed in. A little something for everybody in the high volume segments.
Of course the global market is much bigger than back in the day, chiefly but not exclusively because of China approaching double US consumption when there isn't a pandemic and chip shortage, while at the same time makers are more globalized. That allows for more variation and along come hybrids and EVs of various stripes.
Toyota is always slow to move, conservative. Corolla Cross is one answer. It looks like Mazda is following suit but that remains to be seen.