I always thought of it as an out of nowhere arc that was kinda ham-fisted in how it was handled. Like here is female AIDS Kirito marry sue that everyone instantly likes. It's really what makes SAO such good MST3K material. You can tell that they're 100% being serious with how they're trying to present drama. However it's put in so haphazardly that You can't help but find humor in it. It's like when Kirito had a really bad day back in SAO and his guild all died. He goes back and tells the last surviving member what happened. Then the guy just adds the cherry on top by jumping into the void right after Kirito tells him the news. People writing a dark comedy couldn't hope to write more apt comedic timing of just upping what else worse could happen in a day. Then I think the next episode they were fighting a fucking evil Santa snowman event. It's a level of emotional whiplash that is so horribly paced, that it only works for the sake of comedy by missing the original intention.
A lot of this I think is because whoever was in charge of adapting the LN really sucked at their job. Season 1 we skipped like 98% of the story and only focused on a few footnotes with no regard for things like character development, setting, mood, and plot progression. Season 2 once again tires to insert as much things as quickly as possible. We skip over a lot of the stuff the stuff they have to go through in the real world that would make you feel for the characters. Like how they are treated differently in the real world, and are still being experimented on and monitored by the govt. How their social lives have changed, and the ptsd that many of the students have and can't adapt back to normal school life. So then when it gets dropped that the characters are actually being bothered by things like this out of the blue, when they've been playing Kirito's harem the whole time, makes it just feel out of the blue. Hell I had half forgotten that Kirito was even stabbed by a laughing coffin guy which is why he's in a coma and sent to this world, because they just treated it as a plot device, rather than laughing coffin still being a problem.
Then in this arc we have a cartoonish villainous group, who's motives feel pointless. I mean we already had drama in the series. It's established that the AI are like Yui and the morality of using them as drones for war in real life is drama enough, or just having the dark territory invading as that was supposedly set to happen anyway after the death of the Pontifex. We didn't need to add some guys who were part of laughing coffin and one guy who murdered a girl when he was a kid an has a boner over the idea of a soul. It's just over the top now and the story now enters dark comedy realms with how over the top it is. It's almost like they realized that maybe the govt doing something morally grey made Japan look bad, so they had to insert an over the top american antagonist for absolutely no reason. Maybe it makes more sense in the LN, but in the anime once again it's just thrown in there with abandon to the pacing.