For people who see VS Code as just a decent gratis text editor, there's no problem.
For people who care, to some degree, about using an open source tool, for whom the marketing that VS Code is open source played a role in their choice of using it, it should matter. And it matters that other projects (think Platform IO and more) choose VS Code as a platform to build on top of, and they get away with it because "it's open source".