Yeah, GM is as high as probably any game really goes. It's worth noting that external synthesizers or daughterboards or even soundcards with daughterboard functionality (until the AWE32 and maybe the GUS) were super expensive and rare for the most part and most normal users just didn't have them. The extra functionality of GS wasn't particularly used in games and, unfortunately, the further extra functionality of XG never was. I think Sierra did supposedly do some extra GS functionality in a game or two because they were among the first to push for things like the Roland GS, but I could never personally hear a real difference and it wasn't in many games anyway. YMMV I guess there. Honestly, the only game I ever personally ran across that could truly benefit from something other than the standard General MIDI was Monkey's Island which, famously, used the MT-32 optimally, but then that not only isn't more than General MIDI, it's actually less (an early, more proprietary system that wasn't really even standard.)
What it comes down to ultimately is you can always do better with a custom soundfont. The sample ROM in devices of that time period was typically exceptionally small (4MB generally was the max of such devices and many were 2 or even less. Many were 512KiB I think? Even those like the AWE32 with RAM only had small amounts of sample RAM -- I think the AWE32 was 2MiB with an optional very expensive upgrade chip available to go to 4MiB if I remember, but it has been a very very long time.) The problem is, a custom soundfont is more... shall we say "personal." The samples that work great in one game's musical style can sound horrible in another's. A soundfont that sounds excellent in Doom can sound horrible in, say, Daggerfall. Worse: it's rare, but sometimes a soundfont that sounds great in one track can sound terrible on another track even just in the same game... Now, to my ears at least, the XG synthesizer's samples and normal sound just seemed to work really well as a generic sound across all games and sounded better than all the other wavetable devices that at least I ever had access to. I never have found a soundfont I was truly 100% satisfied with as a good generic. The basic XG sound is definitely worse than a good soundfont -- I mean, to be fair, they only had a 4MiB ROM to work with for the full sample set on the DB50XG (which S-YXG50 basically emulates) -- but you can just play one game after another and it still sounds pretty great in each at least relatively speaking. I'm sure if you actually make music using MIDI the extra functionality of GS and XG might be nice, but then again, at this stage I wonder if using a more modern, more "tracker"-like setup isn't better?
Perhaps by now there's a better generic soundfont to use simply across multiple games. That would be nice because a lot of things like DOSBox do have built in synthesizers that can use a soundfont. I just haven't run across one that (to my ears) seemed to work for that yet. Alternately, what would possibly be the best thing if one is patient enough is to actually set the emulator to use a different soundfont on a per-game basis. Then you could get incredible results. That's potentially quite a lot of work though. If someone knows of a really good generic that actually sounds great across virtually every single game I'd be interested to know. Anyway, for now I still try to keep a mechanism of using S-YXG50 going for those rare few games I actually play that use MIDI (mostly in DOSBox.) As support begins to fade more and more I'm thinking ultimately I'll probably have to start running DOSBox in a VM (probably using Windows 7 at the latest) as insane as that is. I really wish we had a WinBox by now since Windows is making it harder and harder to run any legacy games, lol. (Yeah, I know DOSBox can technically be made to run some Windows versions, but it will never officially support it and I feel like development is almost sort of hostile towards it. Many optimizations for DOS gaming actually hurt the accuracy of some functionality needed for Windows support anyway.) Many Windows 9x games just don't even work in Windows 10 at all anymore and of course anything 16-bit can't be run on a system running in 64-bit mode. Possibly even full blown emulation like QEMU is ultimately the best way to go long term. But the beauty of a VST driver that can use the S-YXG50 VST is you don't have to deal with all those complexities right now. Just set it and forget it.
BTW, there is a soundfont based on the XG's sampleset. It never sounded right to me though. Not even the version that is modified to be more GM-like (apparently the normal one had different instrument mapping or something.) I presume the actual synthesizer itself must do things more complex with the sample ROM than just simply the equivalent of a soundfont. (It's worth noting that, for its time, XG was the most powerful and complex MIDI synthesizer. ... For its time, lol.)