And returns things to the way they were in the 1930s-early 1960s, when the terms were used fairly interchangeably.
For example, I have a copy of the 1961 Ace printing of Andre Norton's Galactic Derelict (original publication 1959) that has at the top of the front cover the following blurb:
So, in 1961 a novel about a US time-travel team that goes back about 12,000 years, brings an intact alien starship back to our time (~1975 in the story), and end up making a voyage to 3 different alien worlds (using a hyper-drive) before finally getting back to Earth... this is described as a "Fantasy'!
Most librarians I've encountered are rejecting the change. Locally, only one branch of the public library has embraced it (and the assistant librarians of that branch deride that decision); the others still separate out Fantasy from Sci-Fi and both from Cyberpunk... because people want to be able to find stuff they like, and the distinction is often important.
Even the subgenres are important. I'll read space opera and military sci-fi (hardish or hard), but don't much care for modern cyberpunk. I like my fantasy either really gonzo & humourous, or of the "Snatched from Earth" variety.