I can't judge seaQuest but I suspect we can't fail with Kaiju, it's an easier trope than a sentient armada.>It has the same fundamental flaw as "it was all a dream"
Just as I feared,
They are fundamentally different, putting those two as equivalent is a damn memes!
It make you exclude entire realm of ideas as "it mean less" before you even try.
I blame Star trek, story with respawn or shit story only using it as an ending for the buzz or distract from a shit plot.
A dream flow on raw imagery and emotion, it hardly have rules, time is irrelevant, it is either symbolic, extremely personal, literally a time-out from the plot.
A simulation require rules and admin role. Everything that happen have a reason, simulated-time is a critical factor and there's no discontinuity with the plot...>no lasting effect on the outside world
...as changing a character mind is the most lasting effect you could ever need! (ex: time dilatation in/out)
Being able to do this without affecting the "outside world" is a feature, not a flaw.
It take willing suspension of disbelief to accept the physical world being destroyed/rebuilt every week by supervillains.>This is why AoBS being a simulation universe sucks, because it effectively limits the amount of universes you can crossover with
Speak for yourself, you are complaining of making an explanation for something what stories leave to magic, lampshade and disbelief "Oh no! we somehow teleported in another world!" (Thessalonica Legacy).
I'm confident I could meet every criteria like "lasting effect", "actual interaction", not escalating the tech-level, with everyone starting in the simulation or not, knowing it is one at the start or learning later, fusing or keeping world separate.
Gundam and it's repeating formulaic wars could actually gain in credibility (and originality) if it used simulation, no need for silly Moonlight Butterfly.
I even have ideas to fix the current storm of bad isekai escapist story using one.