Fair enough. I can understand how the inconsistency would bother someone. I'm just the type of gamer that cares far more about story and character than I do about items, so if it makes the characters look cool/fits their characters then I don't really care about what they initially look like.
Another example of companion equipment working in a way I like is in Pillars of Eternity 2. The upgrade/enchantment system in that game meant you could keep the companion's starting armor competetive throughout the game. If transmoging were a thing in BG3, I'd most likely use it to keep characters in their signature starting outfits.
