The capacity to grant access as a specific remote user is present without certs as well right? The typical authorized_keys file lives under a user directory and grants access only to that user.
Certs may still be the right approach, but OpenSSH also supports an AuthorizedKeysCommand which could be a secure HTTPS request to a central server to pull down a dynamically generated authorized_keys file content for the particular user and host.
If your endpoints can securely and reliably reach a central server, this gives you maximum control (your authorized_keys HTTPS server can have any custom business logic you want) without having to deal with certs/CAs.
Exactly. This is really useful in larger organizations where you may want more complex rules on access. For example, you can easily build "break glass" or 2nd party approved access on demand. You can put whatever logic you need in a CA front-end.
You can also make all the certs short-lived (and only store them in ram).
And when your or someone else's infra down to such a degree that you need SSH access, you do not want to depend on being able to touch that machine first. The same is true with custom AuthorizedKeysCommands that phone home.