As I understand it, the hardware very much lags behind the algorithms. We have plenty of cool algorithms to run on quantum computers, but to be practically interesting they all need more qubits or better coherence times than is available today.
The hardware very much lags behind the algorithmic advances, much of the current push for new features in quantum hardware (midcircuit measurement/feedforward, phonon mode coupling, etc) often comes from theorist colleagues pestering experimentalists about whether their hardware can run their algorithms yet.
In fact, this is analogous to the original motivation for the development of classical supercomputers, physicists wanted to run expensive non-perturbation Lattice QCD calculations, so they co-designed some of the earliest supercomputer architectures.
