Craft is used as a term of description in the second part of the sentence, not a value judgement, because the first part of the sentence makes it clear we are talking about artists, and therefore art.
Sometimes writers have to use the conventional or cliche meanings of words in order to establish a "base line" to take readers to a new level.
I believe that is what is happening here.
Also in the second sentence "traditional media" is in scare quotes--I took it as implied that "craft" was similarly qualified.
Especially since the whole point of the article was that weaving, etc is seen by artists as an analogue of "high tech" processes.

In Olson's lead Matson is described as an "artist using textiles and needlework." You have to read across two sentences but the statement is very clear.

As Rafael said about this thread on del.icio.us: "long discussion might be interesting in 600 years." Thanks to all who are answering the quiz questions--they are helpful in the here and now.

Thanks for your comment, Vijay. I have been trying to focus on specific examples of the new work on my blog (from time to time) as well as an overview like the ones Ramocki and Lialina gave, plus how the single units fit together with the larger frame of a blog or a group blog.

Rob, the Morales piece is not ironic so it seems you missed my point (again).

correction: last sentence, para 4: "nice to look at" not "nice to look