But - Do we agree that continuous power dissipation is just that, no matter what?
Dissipating joules per sec means just that, but it in no way describes the temps.
Mount a TO220 high power metal film resistor to a huge heatsink and dissipate 100w, mount the same TO220 to a much smaller heatsink and dissipate 100w. The smaller one will be much hotter, including the TO220 package.
Watts just gives you an energy rate, how you sink out that energy is a bigger discussion/problem. As long as the sink is big enough to keep junction temp below max, for any application environment, then the package should survive.
The package itself is a thermal resistor, so for any given heatsink there will come a watts number where package temp gets too high. As example, TO220 in open air vs same in open air with a fan vs same mounted to large hunk of aluminum that is water chilled.
If the heatsink is very good (big water cooled, big fan cooled, etc) you can likely have the package dissipate more than rated watts, as long as the package temp does not go high enough to damage it. In real world there are limitations when it comes to physical heatsinks.