Yes, the fact that Bush didn't use a particular term in a particular speech has been made into a story that suggests he's been intimidated.
This is yellow journalism. Period.
Or a yellow president and senate!
Did they make that up too?
It was very brave and non-PC for Bush to call them "Islamist fascists." It raised enormous howls of outrage from CAIR-type organizations. To my knowledge he hasn't used it since. If he doesn't use it again I believe that is pretty compelling evidence that Bush won the battle but the PC-crowd won the war on this particular "call it what it is" skirmish.
If he does, I'll understand why he did it.