Consciousness is a conceptual problem, not a physical one. It merely goes away once you start asking the right questions.
Consciousness is still an extant and very unexplained phenomenon.
A quick Google of the subject will demonstrate it is still an (maybe, the) outstanding subject of philosophy and perhaps ultimately physics.
Check any online encyclopedia, but if you have any respectable references that disagree, I'd be genuinely interested.
Eg:
So in the philosophy of physics and the mind, there are whole departments filled with tenured professors who came of age in their thinking at a time when consciousness was a Hard Problem, and have focused their mental tools on a class of solutions (qualia, observer-triggered wave collapse, etc.) which are irreconcilable with mechanistic physical reality, making the problem even more intractable and mysterious. It'll take another generation or two before the ideas of Dennett, Dawkins, Tegmark, etc. get more widely recognized and consciousness finally goes the way of phlogiston.
For references, I recommend Dennett's "Consciousness Explained", and really anything by Daniel Dennett and Richard Dawkins--materialistic explanations of consciousness pervade their work. For a compatible (hah!) physical perspective, I suggest Max Tegmark:
Also, I don't really like the way you're describing these professors of philosophy. These people have spent their lives studying this problem and adjacent topics. Sure you may be absolutely convinced that "things that conflict with our understanding of mechanistic physical reality must be untrue," others believe "what almost all people perceive to be true about their internal experience cannot be dismissed when discussing the nature of that experience." I think this topic is much more debatable than you are making it out to be.
A phlogiston is not the correct analogy for grounding consciousness in science. An easier fit would be the software/hardware split you find in computing, where the abstractions and meaning we perceive to be real is a set of built layers of computational or logical abstraction.
I am on the side of not thinking you can scientifically ground consciousness with the understanding we have. I don't think either analogy fits and the argument will forever be pinned in debate between characters that prefer their own worldview.
We have not yet mapped out the wiring diagrams of our brains which result in the human experience of consciousness. But that's a technological limitation in brain scanning and simulation. We also haven't yet created AI machines that exhibit what we would call consciousness, but we have good ideas of how to do so and are making progress. In both cases we know there is no need to invoke dualist answers, whether it be souls, ghosts in the machine, or 'qualia.'
https://philpapers.org/surveys/results.pl
(Also modern dualism is much better than spiritualism! There are some good reasons why people believe it.)
That's news to me. What do you mean? What are those good ideas that we have and that we are making progress towards, that will lead us to conscious machines?
Actually: conscious software. Presumably, if we can get to strong AI from where we are right now, then we already have the hardware and we just need to figure out how to write the software?