There was an AES presentation years ago on the problems with un-dithered commercial CD's. It's easy to show that the correct amount of TPDF dither acts as additive noise and there is no "averaging" out or masking. There are some esoteric issues around moments of random distributions but that is out of my experience.
I won't name names, but I was shouted at very nastily by a producer in a panel at the AES, many years ago, who shouted "you're an idiot, I'm not going to add noise to MY music". Sadly, that attitude continues in some places until today, but most people have sorted it, finally. The fact that dither eliminates signal-correlated errors is the key, and linearization does seem to be often lost.