If the accounts are forever inactive then its essentially burned. But should they come back it could renew there interest in the game. I don't know why this is even a proposal. It spits in the face of decentralization. Is this really even necessary?
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The main point of this proposal is to not have to maintain the data and code for this air drop in perpetuity. Splinterlands has been paying the costs for operating this air drop, and it shouldn't really be expected that this should go on in perpetuity as the SPS DAO has been spun up as a separate entity. In my opinion, not having an official end date for claiming the air drop was an oversight in the original white paper. I think it's a fair argument that the unclaimed SPS could be considered burned, but I felt it was better it be returned to the DAO who could then do with it what the community wished... be it burned, used for other projects, etc.