Magmarock: What is Linux? When I say Linux I mean desktop distributions.
This is your first mistake. Different Linux distributions cater to different types of users. Don't group all distributions together. You'll get conflicting answers that are all correct within their respective niches.
Magmarock: Linux on the other hand is something I truly hate and despise. I can’t stand the community or the software itself and I can’t for the life of me figure out why people use it or why they push so hard to get others so support it.
If you hate it that much, stay away. Don't waste your time forcing yourself to use a system you hate; don't waste the community's time trying to talk you into liking it.
I use it because I find it to be a far less frustrating system than anything else available to me. I don't push others to use it.
Magmarock: So why do I hate it? Because I don’t like the way it works. I don’t like the way it does things. I don’t like the way it install programs, the way it updates, installs drivers, installs itself, excreta excreta. However, the one thing that bothers me the most and the reason I’m posting this here instead of the Linux forums (Linux forums are a waist of time anyway.) is because of the DRM-like behaviour of the software.
This is where you go completely off the rails. First, as above, different distributions work differently. I'm not going to try to refute your individual vague complaints. If you restate them with specificity, I can try.
Magmarock: Linux doesn’t have DRM, but it does use repositories to install updates, drivers, and most of all dependencies. Dependencies are needed to make your software work. You can install dependencies offline but this is an extremely tedious process. Not only that, but unlike Microsoft VC++ redistributables, dependencies are both unique to each distribution and ever changing. This means that the files you’ve downloaded will only work with a very specific version of a very specific distribution.
Are you starting to see the problem?
No. If your package manager is at all competent, it can be instructed to download all the packages once, so you can install offline at a later point. People in countries with slow/unreliable Internet get very unhappy when that feature breaks.
Moreover, you are again conflating the package manager of specific distributions with the general idea of "software installation on Linux." To be picky, Linux is just the kernel. It doesn't have repositories, or software updates, or package managers at all. Distributions have those things. Distributions are built on top of Linux (and sometimes other kernels).
I will grant that some packages have a habit of breaking their ABI more often than they should. This is something to complain to the individual upstreams about. Linux distributions generally just pass through the decisions of upstream on that issue.
Magmarock: Furthermore Linux has poor software backwards compatibility. This means that the dependencies and the software that needs them can lose functionality with future releases of the kernel.
This is at once both your most and least accurate point. It is most accurate in that, yes, some packages do break backward compatibility. It is least accurate in that no, Linux the kernel goes to amazing lengths not to break backward compatibility. Kernel breaks are permitted only when no other option is practical.
Magmarock: Case and point Remastersys, a program that is no longer supported thus you can no longer use it. The distributions no longer support it, and the dependencies needed to run it are no longer stored in repositories.
Do you see the problem?
If the source was released, then you can support it or find someone to support it for you. If the source was not released, you are stuck. How does this differ from Windows software? Windows vendors routinely abandon their old versions. In the case of Windows software, abandoned versions often become difficult or impossible to legally acquire, at any price, even before it becomes impossible to run a copy you may possess. At least with freely released software, you can acquire a copy and make the attempt to make it work again.
Magmarock: What if Trine 2 for Linux is your absolute favourite game? It already needs a specialised selection of dependencies. (They’re listed on GOG’s store page.) That of course have to be downloaded and installed separately from the game.
That sounds like something you should take up with Trine 2's maintainers. They should be using the standard system libraries, not requiring special versions. If they absolutely cannot use the standard libraries, they ought to include the required libraries. Windows vendors are more thorough about bundling libraries, but your problem is fundamentally that the people whose job is to deliver the software to you, working and in good order, did a bad job of it.
Magmarock: What if your internet isn’t working and all you’re left with is the install.sh?
As above, if the vendor either used standard libraries or arranged to bundle their non-standard libraries, you will be fine. If they did a bad job of delivering the software, then you have a problem. Complain to the people who did their job poorly.
Magmarock: What if the repository no longer has the dependencies?
Then you retrieve them from the attic. Only truly rare things ever really die off the Internet.
Magmarock: Having DRM free software should mean not having to worry about any of this.
It does, because you completely misunderstand DRM. At no point have you posed a scenario where a Linux user needs to ask anyone for permission to run a program that is already functional. Every scenario you posed involves a program which is not yet functional that needs more pieces, yet somehow cannot get them.
Magmarock: Linux repositories remind me of Steam. Please explain to me why a group of DRM free software enthusiasts, would ever want to use an operating system such as this.
Without it, we wouldn't have the freedom to waste hours in pointless arguments.
Magmarock: I work in IT and have to deal with a lot of nonsense especially when it comes to old laptops. But once you have the drivers and updates on your disk they're there and they will work. Linux uses repository.
Linux distribution are actually better about this than any other system I've dealt with. It's a truly broken distribution that cannot handle installing from local media. You'll need to get into specifics about which distribution screwed this up.
Magmarock: It wasn't just that it was different. It's that it installs everything from the web directly. I can see why some people like it. I can't see why GOG people like it.
Where else do you expect to install from? Do you want someone to mail you a CD? Again, your problem seems to be specific distributions that either did things poorly or you didn't understand how to do them right. Every distribution I have worked with handles homemade offline install media fine.
Magmarock: I still wouldn't want Android as a Desktop OS, but you know it's the best version of the Linux kernel because it's what everyone is using.
That doesn't make any sense. Android is notorious for being out of date and for shipping drivers that are not upstream. The latter makes it unnecessarily difficult to run current software on an Android device, assuming you can get past the obnoxious locked bootloader that the phone vendor installed.
If we judge based purely on popularity, then archaic versions of Windows are necessarily "better" than current because they are widely installed (and in some cases, will remain so due to operator preference). In the case of Windows 10 versus pre-Windows 10, the older ones probably are better, but that's only because Microsoft did such a horrible job with Windows 10. :)