It could be taken as pretty demeaning, I accepted that as I wrote it, and I don't think of it in demeaning terms. They do a fantastic job, they have as you say pushed Linux forward a lot, I have nothing but respect for them.
I won't however change my opinion. They did push the state of it forward, but so did Knoppix in many ways, and a fairly large amount of other distros. Are they all products? No, they're projects, with varying levels of success. It's a great platform, but I don't think that classing it as a product is helpful. It's a community project, approaching it like RHEL wouldn't work, they have completely different aims.
My argument isn't that Ubuntu is a quick paint gloss improvement, it's that they've taken the core work and improved it rapidly (although Unity could be argued) and teamed it with their biggest marketable quality which is that they've built a community around their work.
Do they deserve money? Yes, of course, thats why they take donations. Should they sell it as a product, as an actual thing? I don't think so.
(if you're working for Ubuntu, I love you and I'm not being mean!)