I always thought MS in USA was seen as failed PhD (e.g., did not make it past proposal stage). So perhaps these coursework MS degrees are actually increasing the value of the MS!
Not at all. It's very common to get an M.S. in CS; which is mostly course work to differentiate yourself from a B.S. holder, which because nearly everyone has a degree has less value than in the past.
The reason many M.S.'s are failed Ph.D.s is that is easy to get funding for a Ph.D., but not for an M.S.
