Do we know what that view is showing though? If you tapped in to a 3-month-old's visual system you would see things disappear too, but that's not the full story. Maybe it's the same here?
I think this is ok. The perception system has a threshold for the classifications and all the logic comes after that. It cant make reasonable decisions that humans can undersand on something that is 80% likely to be something. Its where where this tech is at right now.
What is not ok is to call this FSD.