You should look at the Dolby diagrams for proper placement.
Your proposed in-wall placement is too far forward for proper surrounds.
Only you can decide for yourself if the work of installing such Speakers for potentially poor payoff is worth it.
In true 5.1, the free-standing locations you show above are pretty good. They should not actually be immediately beside you.
In a 7.1 layout the ideal placement would be to have Surrounds beside you and even slightly behind (90-110º) with Rears further behind you, and more inline with the placement of the mains.
I absolutely understand and get that we all have sacrifices and compromises that we must make. I did that for a while with having my Rears mounted above a closet.
Yes, they worked. But when I finally reset them at proper level on Stands, they were significantly better. Both locations were in the right placement according to Dolby, just that originally they were too high.
Contrast that with placing a Speaker where it is "out of place" according to the way the system is programmed...
I'm not saying it will ruin the experience, but you should be aware that you are changing the location of where the sound is meant to be coming from.
At that point, as I suggest above, it is a dice roll as to whether you will enjoy it or not. Thus becomes a personal values choice about whether you want to cut a hole in the wall for something you can't predict.