Clearly, the whole question of art as product has been endlessly addressed by Duchamp, Warhol and others - indeed, the whole Conceptual Art movement is in one sense a response to this question. But the sheer scale - and chutzpah - of this operation is staggering, and the fact it is using human skill and not automation makes it - oddly - appear quite modern and "disruptive" to Western eyes.
But... and this begs even more questions: I was talking to a well-known British painter just two days ago, and he was telling me his biggest (and most lucrative) market is China. So China is exporting cheap mass-produced art, and importing expensive, original art!
An intelligent image processing filter would be cool to, but I would want it for different reasons.
In Japan, I watched a robot paint portraits of live models. A person would sit on a bench, the robot would look at him, then dip a traditional horsehair brush in black ink and paint on paper on an easel. It was outline brushwork with different pressures creating variations in line thickness. The result was quite good--very clearly the live model in front of us.
This was in Tsukuba "Science City"... 32 years ago.
Fine art photography nowadays often involves an industrial inkjet printer.
Assistants painting dots after dots still makes a Damien Hirst for some reason.
There probably is a line somewhere, but it's far from clear where, and highly depends on your definition of "fine art". That the service discussed here is not "fine art" IMHO is easier to argue, but depends a lot on how much leeway the artists actually are given, less so on how many there are or how much they paint.
The basic aspect of art is that I as the artist make the decisions about what the painting is going to look like. Damien Hirst is a fine artist, his assistants are not (while they're working on his paintings obviously).
Certainly many, many artists throughout the centuries have painted commissioned work to survive, but when the customer demands an exact copy of the photo in another medium and the artist is allowed no subjective interpretation of the subject matter it ceases to be fine art.