Hi Tim! Your Fritzbox problem is easy to resolve, see docs at Troubleshooting - DDEV Docs
But dnsmasq is a great solution, and we recommend it to advanced users, but we avoid solutions that require changes to the computer itself, or that require advanced administration. Also remember that DDEV works on many operating systems and environments, so dnsmasq isn’t easy in all of those.
We would be integrating mDNS directly into DDEV.