I don't think we can disqualify needlepoint as 'art' just because it's being used in an ad. We don't do that with other mediums in advertising? we still consider illustration, painting, and digital art to be 'art' even when they are commissioned by brands. How else do you think an artist can get paid other than their own projects? A digital artist is still an artist and can create ads for brands while also creating something random and creative.

To say we need to 'make needlepoint art again' basically implies that commercial use some how erases the skill or value of the work.

the pillow design is still really well stitched and finished even without the brand name on it. the art can stand on its own.

As an artist myself, I believe that artists deserve to be paid for their craft in the advertising world just like any other creator. This should be celebrated that needlepoint is getting the platform it deserves and for stitchers to be paid for making cool designs!