TAOCP is a misleading title. It shouldn’t be computer programming. It should be computer science.
For most people, programming is the engineering discipline. I think that’s a very different art form. Software engineers are rarely dealing with the type of problems TAOCP is concerned about.
From the original document:
My interpretation is that smart pointers are allowed, as long it’s systematically enforced. Switching to a memory safe language is just one example.