Yep, those are some solid examples of how the definition of art has gotten deformed in modern times. A painting of those things, done by a human, I could perhaps count as art, but it's still pushing the line. I think that sort of stuff came out of the idea that art should make the audience uncomfortable, so people started shooting just for that.

It's hard for me to think of a negative outcome from this technology. Sure, some consumers will get exploited by a computer shitting out pictures, but those guys were really just begging to be exploited by chasing stupid commissions. So I'm alright with the "smart artist" you mention - they might use the extra free time to make real art.