These ideas are novel, but is there enough interest in such a thing? I would have to believe what this cartridge and pistol would need is to have a standard capacity of at least 20 rounds in a full size pistol and launch an 85 grain bullet at a minimum of 1200 fps. Not quite as strong as a 9mm, but has less recoil than 9mm, but is much more powerful than .32 ACP and .380 ACP in a pistol that's slimmer than the standard full size pistol.
The 7.65x20 French Longue is an early 20th Century version of this, but was stuck with the powders, metallurgy, and technology of the time. Others have mentioned the 7.62x25 Tokarev and that's a bottleneck case, so the capacities would be no different than 9mm.
I think there's potential tho, something with thicker brass and modern powders could get velocities up even more than 1200 fps, but this .32 "Automag" would never be able to eclipse the power of some +P 9mm... but that's not the point, however it's something the 9mm fanboy army will cite as reasons not to bother with a .32 Automag.
The big selling points would have to be higher capacities in magazines and lower recoil, yet more power than current .32 ACP or .380 ACP. You won't be able to fit this in an LCP, but you could an LC9 sized pistol that's slimmer and holds one more round compared to a single stack 9mm. Is that enough of a selling point that people will buy it tho?
My guess is no.
In a full size Glock 17 pistol tho, again, that's slimmer and holds 20 rds... maybe. It'll be flatter shooting than 9mm, so you're looking at trajectories remaining flat another 20 yards or more vs 115 grain 9mm, low recoil, easy follow up shots... I would buy this. There's potential even to put this .32 Automag in a quad stack design (like the new Kel Tec CP33) and slap it into a thick frame gun like a Glock 21 and up capacity to 30 rds.
Will people buy it tho?
The industry is apprehensive to introduce new rimless pistol cartridges to the market because they don't feel it can compete with 9mm or even .380 these days. Look at the .40 cal family of 10mm, .40 S&W, and .357 Sig: one was dropped on arrival cuz women couldn't handle it, the .40 was LEO standard issue for over 20 years and is now losing popularity to 9mm, and .357 Sig is a novel concept, but has no broad appeal in the civilian market.
And that's with a caliber larger than 9mm, go below that and you get the typical belief that "it's a .32, you'll just piss the guy you're shooting off." or "it's a .32, basically the same as shooting a .22"
I would love to see a return of the hot 8mm handgun, but everyone has gone coo coo for the 9mm Cocoa Puffs.