I would say that it always depends with what target on mind you do what you are doing. I think that in external styles forms are good to drill the basic practice (basic strikes, kicks, etc.) and to polish the technique, but if it stays there, only on aesthetic level, then there is no other practical use. I would also agree that forms serve as concentrated complex of techniques perhaps to preserve the style as it is and to teach those techniques to students in a catalogued manner.
In inner styles, however, when you concentrate on feeling your body, energy flows, etc. it has a whole different added value. External styles often just imitate the exact movement and bring it to automatism, i.e., train muscle memory.
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