I believe you understand it correctly (it must first be uploaded to be analyzed, then it could in theory be automatically deleted).
This would be good to have as an option and it would certainly benefit Wyze to do this (less storage for them being used and so a cost-savings on their AWS storage).
The only downside of this is sometimes an event with a person or other AI event is not identified correctly. This can be for any number of reasons, such as not enough pixels (too far away) or too dark to accurately identify it with reasonable accuracy, among other reasons. Those events would then be deleted and not recoverable. This would be an acceptable risk to some people, especially if they know that they had an SD card record everything as a backup.
To play Devil’s advocate though…why even delete these events? If we only want to see AI events and nothing else, we can simply set that as a filter and then for all practical purposes it works exactly the same as if everything else was deleted except AI videos. We can leave that filter set indefinitely and we’ll never see any other events. It’s pretty much exactly what’s being asked for except that if something critical happens we can undo the filter and go look at other motion events if we need to (something was not identified for some reason).
I know some people like to delete everything they are done seeing immediately though, rather than wait for it to roll off after 14 days, so this autodeleting thing could be something offered for those who want it, and it won’t negatively impact those who don’t. Maybe one of the mods can move this to be a wishlist item. (Edit: Oh this already existed as a wishlist and was merged, awesome…thanks Seapup)