Personally, I've have a wallpaper folder with around 7k+ pictures I've SD create for me. Am I an artist now? Should I put that on my resume? No, I’m not more of an artist as someone who commissioned an art piece from someone else. The only difference is that I tell an AI what I want instead of some person.
I'm not opposed to AI art, but I'm opposed to people who call themself artist because they put in an AI prompt into a textfield. It's just a fucking cringing joke if I see someone like that call themself artist or "AI artist".
The trust is gone and Unity will never be able to gain it back. The damage is done.
I also wonder if this is just playing out as planned by Unity. Try to push out a change that will piss people off by adding a more egregious change and then say "we hear you" and roll back to the change they wanted to push initially.