Yes, they do.

So does cutting a hole in the side of a nice instrument to put in a control panel/battery box.

The best solution is to play where you don't need amplification. But any place where you can make any money, you're going to need amplification.

The second best solution is to have a good instrument mic on a stand.

The third best solution is to have a passive pickup in the guitar, and nothing else, and a separate preamp.

Or so it seems to me.

Peter.