I believe I have heard this in some conversations/meetups before, but I am looking to confirm this as well as seeing if there may be an example out in the wild. If I'm looking to create a new package now, would the recommended approach be to create the front-end in Web Components so that it may simplify the development in the upcoming versions of Umbraco?

Hi there! Whether you use webcomponents or something else shouldn't matter from what I understand. What matters most is that you use as little AngularJS as possible, since that is the stuff that you'll be throwing out with the new backoffice. Web Components do happen to work very nicely with the existing backoffice, so I can certainly recommend.