An OS onto which software can be installed without the system owner's (or at least user's) consent is malware...
The 'Armory Crate' software has long been unrecommended by most, because it's just not that useful. It being malware because Asus themed it for christmas is a stretch.
Largely overblown outrage
The Christmas banner can also pop up when you’re playing games. In some cases, the banner crashes apps."
This thingy lunches randomly when you use your PC, and can crash your app. This would be fine if they added it as extra entry in programs menu but this thingy lunches itself when it "thinks" it is good idea. This works like clasical crypto malware. I am not supprised people are terified seen this happen.
And look what happens when you have for example personalDNSfilter on Android or Free Firewall by Evorim on Windows. What a fun to see all this! BTW, remember to block Free Firewall from NET access also. ;P
However with this "brilant idea" ASUS went beyond all others!