This is alarming, because the young population should dominate over the older population , which is why it is also due to fewer players, it is a shame because when we look at the Italian technique it is exquisite and I like their football, in addition now young people have the idea of not having children due to the level of commitment they have, they only want to do activities for themselves, this could become much more complicated in the near future, especially for football.
Even if it is a problem, Italy should still have enough young players who can be developed to play at the national level. After all, Japan faces demographic challenges even worse than Italy, yet their football achievements in recent years have actually surpassed Italy. They have qualified for the round of 16 several times and even beaten major European teams. This is because Japan has a strategic, long-term vision for the development of its football; a well-established system, a young population that is consistently nurtured, and more. That is why Japanese football remains in excellent condition, even though it is not the most popular sport in the country.
I don't think it's fair to compare any European national team to the others: qualifying to the World Cup it's becoming tougher and tougher every year because the level keeps going up and the spots are always the same. For countries like Japan and South Korea is easy to qualify; when Italy didn't qualify back in 2018 it was because Spain was first in the group. The fact that only one team between Italy and Spain would qualify directly to the World Cup says a lot. The World Cup keeps getting bigger and bigger but they just give new spots to the smaller federations. In South America there are 10 teams and the first 6 qualify directly and the 7th goes to the play offs: can we really call it "qualification" if, potentially, 70% of the teams pass? Try to think yourself at school passing an exam with only 4 correct answers out of 10...
Another plus point Italy and other European countries is immigration and dual citizenship. They may get more manpower and potentially more players through immigration while they may offer dual citizenship for people that don't want to surrender their passport.
In the majority of Europe you can still keep your citizenship and acquire a second one, I'm not even sure if there is a single European country that doesn't accept double citizenship in 2025.