I agree that most programs don't bother to do that but please recall that my claim was merely that what Claude Code is claimed to be doing with regards to diffing is a well established and long standing optimization. The important point being that it is neither expensive, novel, or particularly complex thus not an excuse for poor performance.
[0] https://news.ycombinator.com/item?id=48405259
[1] https://github.com/emacs-mirror/emacs/blob/c29071587c64efb30...