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The discussion critiques the use of the term "branding" in relation to identity, suggesting that many mistakenly believe they can charge more by using this terminology. It emphasizes that true branding involves comprehensive elements like strategy, positioning, and user experience, not just superficial symbols. A professor at Art Center points out that those who focus solely on identity design should not label their work as branding. The speaker argues that brand identity is often misunderstood and can be seen as worthless, serving only to provide confidence which ultimately stems from internal or external factors rather than the brand itself.