I feel that removing the Arabic names from Fremen is to make it palatable for modern audiences. Herbert did respect Arabic cultures and (in my opinion) did not have an insulting representation of them. It is still a caricature of a people made by someone who is not of that people. We do give up some context, but we also avoid insult in our now-global world. I don't think there was any winning move here, but I think they gave it thought and made a careful decision.