My opinion on the whole matter is... conflicted.
In my typical Middle Earth or FR campaign, orcs are an archetype. They are the enemy, the other, the unknown, and the little we know about them is their violence, their aggression, their strength, their pillage, and their numbers. And that's what makes them scary. Reasoning and diplomacy can be attempted, but it will be from a position of fear.
The moment we know everything about them, the moment they stop being the enemy; they stop being orcs. Whether this is a good thing or not is where the conflict lies, because this opens-up the whole morality of the representation of xenophobia in fantasy.
Xenophobia is the fear of The Other, of what we don't know or understand. We all are xenophobic, all of us. That is normal, that is human. What we need as a society is review what we define as "The Other", because as soon as we get to know and understand the other (with a small "o"), it ceases to be the Other (big "O") and becomes one of us. Feel free to apply that to racism, homophobia, etc. This doesn't makes us less Xenophobic however. After we have accepted something as part of us, The Other still exists, and it still instil fear in us. Only, it applies to something else.
The whole concept of monster pivots on fear, and xenophobia is one of them. It is the underlying concept behind the beholder and most aberration monsters, The Great Old Ones, and other alien(ish) entities. Speaking of aliens, the xenomorph of the Alien franchise is the perfect example of it. So playing on Xenophobia is something we do in sci fi and fantasy, and are likely to continue doing; the conflict on the subject of orcs is whether or not they should also represent this archetype. And that is a legitimate question because xenophobia is at the root of racism, and while xenophobia isn't something that can be erased, racism is, and it should be.
Fantasy orcs often fill the role of the feared and unknown blood-thirsty barbarian horde. This is an archetype; not a "race". In a way they are convenient because you can use them in lieu of any human-inspired cultures that would otherwise fill this role in fantasy. You can even make them the enemy of any human-inspired "barbarian" culture highlighted in a setting. But I understand how some can recognise their own culture in a game that otherwise depicts orcs as inhuman enemies, an archetype of violence and aggression. The solution is to make the orc "one of us" and therefore remove it from the xeno, but that only leaves an "archetypical vaccum" in most classical settings that will be filled with another species.
For what it's worth, I feel similarly about dark elves.
So as I said; I'm conflicted.