I cheerfully use Google Meet with it's poor blurring that constantly pops things in and out of the background without giving it a second thought.
I judge people by the content of their words and the merit of their actions, not what they look like or how much effort they've gone to in order to have a perfect webcam production.
This tool looks super awesome and I can absolutely see myself using it. I've tried greenscreen in OBS before and decided it wasn't worth the effort for my purposes; something that is roughly decent as this looks at a glance will be really useful.
Regardless, I am someone who never pays for a haircut and has very casual clothes. But this is something that, to me, indicates a complete lack of sensitivity to aesthetics, and in a large number of jobs/roles, that's a really bad sign.
There's also a bit of the "what is so important to hide?" question.
It's great if you can ignore such things, but not everyone can or does. This is almost like someone who has poor hygiene, who has dirty hair or a bit of a smell to them. Anyone would advise such a person to put in a bit of effort if they want career success. Same thing.
It's a principal thing for me. My space is mine and work doesn't have a right to see into that. They aren't welcome in my home. Maybe I have a good office setup or maybe not. Maybe my home is clean today or not. It wasn't anybody's business pre-covid, and it remains nobody's business today.
I work in different part of my home, but I dedicate one small space for video calls, where I stand, not sit. It is designed to provide a plain background. If I didn't have a wall at my disposal I would have installed a white ikea roller window blind on the ceiling. It is much more effective than any blurring/background replacement algorithm.
You choose to work from home, you choose to welcome work in your home. The good thing is you still have the liberty to limit and design the small part of the home you are welcoming your coworker's in.
Which seems to be accurate, and in my opinion rightfully creates a negative impression in their minds.