While I agree with you, a large number of people use the term to mean that something was engineered to a complexity they have difficulty understanding. Abstraction is also treated as a dirty word, with people focusing on only one interpretation of the word.

While I don't actually agree with OP, I do agree with their sentiment. I've seen people say something is "over engineered" when there's an elegant design. Elegance isn't over engineering, it is solving problems effectively. It's something we should chase! Elegance is solving the right problem, which usually people are having a hard time seeing. (It's not always easy)

If we constantly let people drag quality down then we get into this frustrating world where everything is constantly half broken.