Just there last week myself and it is indeed visible from the front of the park before you enter. It may be blocked by buildings as you walk down the street, but, then again when was the last time we saw the Tree of Life after we first enter the park? The only park that I can think of where the Icon can be seen pretty much from every location is Spaceship Earth.
I agree with that original statement about it being in the background for so long, but, if they keep the movie theme, which it appears the are doing then it will remain relevant in that it is still connected with movies and movie making even if it isn't done right there. They were all produced someplace and it's a good bet that the studio's all had water towers.
I'm not sure what you are saying about it not being visible, it stand out very strongly when on World Drive. The only things that the trees are hiding is the lower part of the legs of the tower.
Actually, they say.. "Oh, there's the Tower of Terror". It is the most heavily publicized thing in the park.
That is the same way I feel about it, but, Disney has always interchanged Icons and Attractions on their promotional work. It is more recognizable then the tower at this point.
I have to, again, disagree. The park is still completely dedicated to the entertainment, but, mostly movie theme. That really has never changed. When they first opened it, as a working studio, it was just a matter of blind luck if you were able to actually see the workings of the studio. They were scarce and usually cordoned off to the point that you could not actually see it. It is almost as much of a studio park now as it was then. It is still themed that way.