This has been a passion of mine for many years.
I have never been able to solve this fundamental problem:
The user must purchase a computer I/O system with enough microphone preamps and enough monitor outputs to handle a reasonably sized band. And you have to spend a lot more if you want recall of the basic elements (mic gain, 48v) that you get with a live mixer.
What you often find is that a small digital mixer is the most practical way to get a lot of mic inputs and monitor outputs from your computer. So you’re now faced with carrying a perfectly serviceable live console around, just to support your virtualized one.
That said, there’s plenty of room to do something cool in the computer that complements the live mixer.
Harrison LiveTrax and Apple MainStage are 2 products that complement the digital mixer without trying to ‘be’ the mixer. And I see a lot of live rigs running Ableton Live for backing tracks and video playback.
-Ben