Here's my take. I shoot a lot of theater, mostly ballet. No flash allowed. At the mercy of the lighting used and it changes rapidly at times. Couple that with the variance of the motion of the subjects (from standing still to fast gravity defying leaps) and you have some vary tough conditions to shoot in.
Before I go any further a little bit about my philosophy of making an image. In any given situation there is, I believe, an absolutely ideal setting you can capture an image with to get the best quality image possible given the equipment you have. There are many settings that can capture the image at a reasonable quality, but very few if not only one absolutely best setting.
A best setting would be a shutter speed that freezes the action (if that is the intention) to the point where there is no perceivable motion blur. Also to the point where any faster shutter would be overkill and therefore diminish the quality of the image by sacrificing an ideal setting for another element of the camera like aperture and/or ISO. A best setting for ISO would be one that is as low as possible but still allow a 'best' shutter speed setting. A best aperture is a little more flexible depending on the look of the DOF you are going for but in theater it usually means shooting wide open to maximize the shutter and minimize the ISO.
So, conclusion as it pertains to the discussion of this thread. An Auto ISO that can be defined by the user would absolutely benefit some kinds of shooting like the type of theater I shoot. Absolutely. But only if I can tell it to only shift up and down to maintain a specific shutter speed and maybe even aperture. If i want to maintain a 1/500 shutter and set my aperture at f/2.8 and am shooting along at ISO3200 (common in some theater scenes) and suddenly the lighting comes up and the dancers start leaping about the stage i would absolutely love it if my ISO automatically dropped down to ISO800 and maintained my shutter at 1/500 and aperture at f/2.8. How cool would that be?!
I know, I could just leave it at ISO3200, or whatever, on the 5D and still wind up with a decent sellable shot (done it many times). But it would not be a shot that was captured at the 'best' setting. I cringe when I see an image I capture at ISO3200 in Av mode with aperture set to f/2.8 and the shutter is something like 1/1000. I always wonder how much bettere it would have looked with a lower ISO and a slower shutter as the 1/1000 is so overkill for what I shot.
It's the small little incremental ticks in this quality measuring stick that can all add up to set you apart from a soccer mom shooter and label you more of a professional. Always shoot for the best no matter how small you think things matter. I see a lot of non-L glass lenses that have very good quality, but the pros use L-glass. Why? Because there is a difference. Is the difference always perceivable? No. Not always. But sometimes it is. Sometimes it's obvious. Sometimes very obvious. For this same reason that a pro uses L-glass, the same pro should also strive to create the best possible image with the best possible settings. If that means letting the camera decide some things for you like what shutter to use when you choose an aperture, then so be it. I don't call that lazy, or amatuer. I call it smart. Can you always tell the difference between ISO3200 and ISO1000. Nope. Not always. But often times yes. Of course. Is it a huge difference? Nope. Not always. But sometimes yes. Even when it isn't, it's that incremental advantage that can add up to set you apart from the 'average'.
Do I 'miss' a lot of shots because I do not have auto ISO? No. But the shots I do get CAN often be better if a better setting was used. A setting that I knew where I should have been but simply did not have time to get there. Yes, 2 seconds is way too long to get there. Often times 1 second is. And believe me, I DO change the ISO on the fly all the time without ever looking up from the view finder. But I still miss when the changes are too sudden.
If anyone ever gets the chance to shoot theater, no matter what you shoot normally, do it. You can learn more shooting theater in a few hours than you will likely learn in months of shooting other things.