That looks bad indeed...
As once mentioned, I had replaced my Pro 10.5" (activated in 2019) in Dec 2020 with a refurbished one. Looked like brand-new. Now, I gifted it to my sister. So far, the refurbed device hasn't shown any bright spots at all. Is there a chance that the issue has been solved for the Pro as well? Maybe she will be lucky in the long term...
Leaving that aside, the bright spot on my old one didn't really bother me. You only see it on a white, bright page or background. Without warranty, I would have simply kept and ignored it. Though it didn't look as bad as shown above :/
If there hadn't been that annoyance, the 10.5" would had the potential to be regarded as best iPad of its time, since its hardware with 120Hz, 600nits, OiS, Quad Speakers, A10X, 4GB Ram and 3.5mm headphone jack is still more than solid almost 5 years later. I loved my device.