You’re making a bunch of wrong assumptions. Yes, the system is deeply broken, but not in that way. Some people from inside Apple have given small insights into it. Of course it’s not true that anything without a sysdiagnose is auto-closed, because otherwise they wouldn’t be asking for one years later. And of course they’re not just grouped into categories, when they can’t even manage duplicates properly (they have the ability to do so and you get notified, but it’s also common to open something as an explicit duplicate of something else with reference number and it’s never flagged).

Speculating about the system and then criticising that speculation isn’t helpful. We have to criticise the system as it exists.

working as intended

Have you ever taken a sysdiagnose and looked inside? It's a privacy nightmare.