Yes, exactly. Of course it has many other functions as well. I'm still a beginner with GraphicsMagick, but my understanding so far is that much of what you can do with a program like GIMP or Photoshop can also be achieved programatically using GraphicsMagick.
For a better idea of what I mean have a look at some of the 'mogrify' command options available (
http://www.graphicsmagick.org/mogrify.html). As you can probably see mogrify allows you to transform an image in many different ways. (Layering images to build a composite would use a different command called 'composite'
http://www.graphicsmagick.org/composite.html)
Yeah. I can kind of imagine why though.
Such a project is a large undertaking and not only will it require lots of continuous support and documentation, but the demographics it is probably most attractive to (minors and those unable to afford lots of custom code upfront) likely aren't too flush with cash. Therefore unless it develops a large following and/or a great monetization strategy I imagine it is hard to make a project like this profitable long term.