This kind of research is definitely real, but the current stuff is nowhere near what makes for good headlines. Right now we're talking about organoids - clumps of tissue that have some of the structural features of actual brain tissue but lack basically everything that makes a brain functional. A mouse with human neurons grafted into it isn't gaining human intelligence or consciousness or anything remotely like that. The tissue integrates to some degree, but it's more like watching a puzzle piece that kind of fits in the wrong spot. What researchers are actually after is understanding how human brain cells develop and behave, which is useful for studying diseases like Alzheimer's or schizophrenia where you can't exactly slice up a living patient's brain to see what's going wrong.
The therapeutic angle is more realistic in the medium term. If you can grow patches of healthy neural tissue, maybe someday you can use that for stroke recovery or to replace damaged areas. But we're talking years away, not next year. The ethical questions are real though - they're not as sensational as "will we create a conscious being in a dish," but they're still worth taking seriously. If human brain tissue starts functioning in unexpected ways, there are genuine questions about what obligations we have. There's also the practical stuff: should we restrict what types of organoids exist, and who decides?
I got interested in this topic because a friend's mother had a stroke a few years back, and during her recovery I started reading about neural plasticity and regeneration just to understand what was possible. That's what made me realize how far off the practical applications still are, even with all the buzz around these experiments. The science is important for understanding disease, but translating that to actual treatments is a much longer road than the news cycle suggests.