Saw someone doing it in a YouTube video recently. My first thought was “that’s gotta stink”
Honestly if you’re doing multiple of the same pattern especially ones with matching tooling/engraving, it seems like the best way to cut leather. Just program it to cut the stitch holes too and leave an extra 1/8” or so around the out seam so you can sand off the burnt part around the edges. Then all you have to do is fold, glue, stitch and finish which doesn’t take all that long. Added bonus of being more precise than any human could ever be. There are the hydraulic stamp pattern cutting machines but outside of shoe and boot making world I haven’t really seen many of those and you can’t do any tooling with them.