what bzip3 aims to be is a replacement for bzip2 on modern hardware. what used to not be viable decades ago (arithmetic coding, context mixing, SAIS algorithms for BWT construction) became viable nowadays, as CPU Frequencies don't tend to change, while cache and RAM keep getting bigger and faster.
it should be noted that while using 16 times larger block sizes than bzip2 while providing compression ratios up to 10%-50% better at a cost of, as empirically shown, 17 seconds per 1.3GB of data, is a pretty good trade-off and if bzip2 wanted to get anywhere close to that (e.g. using the C API to tweak the block size), it'd have to sacrifice a lot of its performance.