sure, many unix programs might be useful, but without good UX design, remain horrible to use (see: tar). taking the unix philosophy as gospel is myopic; computer programs are meant to be used by people, and a program can only be useful if it's well-designed for use by people.
It also makes the right choice when several files not under a directory are in the archive (create a new directory and place files inside), when the archive contains a single file (just place the file in the current directory), and when a clash of names can occur with a file/directory already present in your cwd (unpacks in a directory named 'Unpack-XYZ')