I think it depends a lot on an individual's needs. Like in my case, a recent laptop purchasing decision revolved around qualities that make a laptop particularly good at being a laptop — that is, high portability, low/no noise, little/no heat. Power and ports were a cherry on top because I already have another machine that fills those needs.
In that situation, 1" isn't necessarily too thick, but it is negatively impacting its functionality as a laptop, if only because added thickness implies added weight (especially for sizes larger than 13").
With that said, ultraportables shouldn't exist at the cost of models more oriented toward power and flexibility… they should be an option alongside more traditional laptops.