In my defense, I’ve had a phone hang up or do weird stuff because it couldn’t tell the difference between a fingertip and an earlobe way too many times. Like, a shitty phone has nearly altered the course of my life because of this, and that’s not okay.
An acronym is a kind of initialism that can be pronounced like a word e.g. NASA. Your reasoning for why it can’t be pronounced as a word (“sequel”) depends on it not being an acronym. But, since many people do pronounce it that way, it is, in fact, an acronym and can be pronounced that way.