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Pretty much. The good news is that the newer books offer a ton of choice. That means that you'll see some folks who will make choices based on how things perform or even just the fact that they like the models rather than looking at all at the fluff.

For instance, were I doing CSM's, there's a pretty good chance you'd see a Plague Marine and Thousand Sons army. My reasoning wouldn't have anything to do with the fluff. I just happen to think the models for those two cults are great.

On the other hand, if GW came out with a Chaos rules set which encouraged (not shoehorned) players to follow the fluff a little more, I think that would be great. I've zero issue with folks getting a bonus of buff when playing those nice, themed armies. Couple that with the large amount of background GW has already done for things, it does make sense to use it.