Not to start a caliber war inside of another...but wasn't the M16/NATO 5.56 developed with this exact logic.
Year - Cartridge
1873 - 45-70
1906 - 30-06
WWII - .30 Carbine
1954 - 7.62x51 NATO
1963 - 5.56x45 NATO
Over time we've traded down to a less powerful round in exchange for smaller, lighter, higher capacity, low recoil rifle. In short we started with buffalo hunting round and ended w/ the third most powerful .22 caliber woodchuck round. So why isn't the 5.56 NATO held with the same contempt as the .40?
A few points. WWII meant both .30 Carbine and 30-06 for Americans. In addition, WWII saw the development of the StG44 and it showed real advantages for full auto. Later we tried full auto battle rifles and realized they were pointless because they couldn't be controlled.
Also, at least to my knowledge, 5.56 NATO wasn't developed as a shorter, decreased power version of a larger round. It was developed with the goal of increased firepower.
Shortening a 10mm to create a .40SW doesn't give any advantage in terms of capacity, since capacity in a semi-auto pistol is largely determined but the diameter of the round. So, the only benefit, if you can call it that, of the .40 is controllability relative to 10mm.