I apologize for the snark.
But I thought that your first statement was questionable, and that therefore your second statement was rather facile.
> Knuth's definition of 'bug' is a limited one, that seems to be mainly about logic errors. Allowing a user to incorporate bitmap fonts in a document (which very few users actually wish to do in 2014) would be considered a bug in other typesetting software.
Certainly, people sometimes use "bug" loosely, but it seems to me there is a strict sense in which a "bug" means something that was not intended by the writer of the code. And the issue you describe clearly does not fit this description.
I would call what you describe a "design flaw", at best. But as I alluded to, it wasn't even a design flaw at the time it was introduced. So it's really more of an anachronism than anything else.
And again, it's not really clear that it's even an anachronism in TeX, since it's more of an issue with the DVI-to-PS (or DVI-to-PDF) transformation.
And then you went on to conclude, from this highly questionable chain of reasoning, that this "bug" is "a fantastic illustration of the gap between academic and industry concepts of computing". Which I just find galling. Here you're talking about one of the most celebrated computer scientists of all time, someone who is almost certainly a lot smarter than you (or I), and you chalk up a difference between what you and he call a bug to the difference between industry and academia. As if Knuth is just some kind of ivory-tower crackpot who wouldn't understand the real-world exigencies of industry.
So: I think your definition of "bug" is highly questionable, and I think that in the future, when you find yourself in disagreement with some celebrated academic computer scientist, you should perhaps linger a bit longer on the possibility that you might be mistaken, rather than chalking it all up to the difference between industry and academia.