MF, I actually find upturned blades on utility mowers to be of benefit in thick wet growth - eg my Big Bob throws grass a good 40-60 cm moremost of these utes

I would suggest the specialty ute blades act more like a sickle (with the dip in the middle) and would be better for thick cane grass.

Unfortunately, most utilities were killed slashing, but a few were used for domestic lawns as you say. I would suggest the main case for a utility on a domestic lawn is either one or more of the following:

Regularly cut lawn so it acted like an early mulcher mower.
Can't be stuffed about what the lawn/grass looks like (or didn't like emptying catcher)
Didn't want to pay extra for a Charger or Commando with catcher
The belief the engine will last longer if it isn't being worked harder to cut then catch (some truth in this)

Or (and I know this was one of my relatives reasoning behind this) was that he used 'toe cutters' for years and (having perfected the 'victa sweep' increasing circles mowing method) his wife was used to walking behind and raking up the clippings.

More likely he didn't want to spend the extra $50 on a catcher model though haha