I don't think they care about whether it is easier to understand for customers or not. In my opinion it all boils down to:
We need to sell this new Entra Suite, which will bundle:
Entra A
Entra B
Entra C
Azure AD (oh, this doesn't look nice, lets rename it)
I am oversimplifying, but this is the only explanation i can come up with (that warrants such a complex and drastic change). They say this is for customers to navigate easier between different products and see connection between Entra A and Entra B, but i don't believe this. It is not worth the investment to change a name just for that. But if you have all products with similar name, it would be easier to sell more. "Hey, you have Entra ID already, you really will benefit from Entra Something also, this is same line of products, bla bla". And i expect new Entra SKUs to appear in the near future, like Entra Premium (Entra Internet Access P1, Entra Private Access P1, Entra PIM, Entra ID P1), etc.