I'm not sure I've watched all of Cobra Kai other than the last season that still hasn't fully released...I watched some youtube videos on the subject and they are pretty much pointing fingers on greed from Will Smith and Co who apparently own the KK franchise when they made that remake starting his retarded son. The gossip rag YT channels were pretty much of the opinion the point of this KK meets the Kung-Fu Kid movies is to get people interested in the revival of the Jaden Kung-Fu Kid series. On the other hand I think the direction that the CK series in heading is some spin off show about a young Miyagi.
Spoiler: (click to show)