The 'hype' seems to me to be the valid-sounding concern that this tool creates the ability to "look for specific images prior to uploading them to iCloud" on Apple devices, and that while today that capability is exclusively applied to save the children, that tool could later be repurposed by authoritarian regimes or other human rights abusers.
Speaking towards what we can assume the authorities can do, we know the FBI cannot compromise an encrypted iPhone because they attempted to force Apple to do that via court order. From what I can tell, the objections to Apple's expanded protection tooling is similar to the objections to adding backdoors to iPhone encryption so the FBI can break into devices used by criminals. It's great to stop the crime today, but how could this be repurposed tomorrow.
Plus it's just creepy that my phone will be scanning my pictures. I use iCloud Photos now and understand anything I put on someone else's servers is subject to search. With it on my phone, it feels radioactive to me and needs to be disposed of promptly.
Speaking towards what we can assume the authorities can do, we know the FBI cannot compromise an encrypted iPhone because they attempted to force Apple to do that via court order. From what I can tell, the objections to Apple's expanded protection tooling is similar to the objections to adding backdoors to iPhone encryption so the FBI can break into devices used by criminals. It's great to stop the crime today, but how could this be repurposed tomorrow.