I have had my base M1 Air for a little over a year. I don't have any cracks. It has never gotten hot and I normally keep 20+ tabs open. It gets a bit slow when I do this but never hot, indicating a RAM limitation. I went to MicroCenter around Thanksgiving time and they had the M1 and M2 Airs literally side by side. Those display models are on all day. The M2 was significantly warmer than the M1. I also didn't like the new keyboard. The old one felt like it had more travel. The speakers on the M1 also sounded "better" because of their location:
Yes, I have the M1 MacBook Air and used it every day for almost 2 years with no problems. I don't know what causes the screen cracking problem or how common it is but the number of reports from people saying all they did was open the display and a crack formed is too high to just discount it.
I've seen no reports that the M2 had a problem though because the chassis was less sturdy.
I track my temperatures. My M1 usually stayed around 30 °C at idle. The M2 is slightly warmer at about 35 °C but since we don't know where the sensors are and the fact that the sensors are different between the M1 and M2 means we can't really reason about any temperature differences. I can see the temps on the M2 rise quite rapidly under load but they go down just as quickly. For my use, I never throttle. I get quick bursts of performance and then back to idle.
I use the M2 MacBook Air all day for 8 hours or more and it literally never gets even warm to the touch. I'm a software developer currently doing mostly ReactJS development. Most of my day is either typing or thinking about problems to solve. When I build the software using the standard ReactJS stack, my M2 MBA is very quick. I also use a couple of Docker containers for development. While they use a bit of memory, they don't seem to cause any particular load on the system except obviously when they are in active use.
I agree that the speakers on the M1 MacBook Air sound a bit better than on the M2 MBA. I rarely use the speakers though so it wasn't much of a consideration. The keyboard on both the M1 and M2 MBAs seem very similar to me but everyone has their preferences.
These guys did blind tests and there was basically no difference between the two in day to day tasks:
The difference for me is the extra 8 GB of RAM (24 GB). It definitely helps keep things speedy since the M2 never needs to swap. I essentially switched to the M2 because of the available extra RAM though I will admit that I wanted the new design too. I definitely see a bit of a speedup on my day to day development tasks but if you are doing Office, web, or email I doubt anyone could tell the difference.
I would say that if you're doing more demanding tasks like video editing, then the 14" MBP should be your choice. If it's anything less, then it's just a matter of design preference between the M1 and M2.
I don't do video editing. I definitely don't want a 14" MacBook Pro. I carry the M2 MBA everywhere and I really appreciate the 2.7 pounds of weight. I'd love it if it was even lighter. The battery on the M2 MBA is also a lot better than the 14" MacBook Pro. I've been working since 9:30 AM EST and it is now 4:00 PM. My brightness is set to about 50% and I still have 61% battery remaining. I wouldn't trade the battery life on the M2 for anything (the M1 also got similar battery life so that wasn't a reason for buying the M2.)
So for me, the technical reason to get the M2 MacBook Air was the ability to get 24 GB of RAM. I also appreciate the new design but as you say, that is a personal preference.