Unit names are always lower-case[1] (watt, joule, newton, pascal, hertz), except at the start of a sentence. When referring to the scientists the names are capitalized of course, and the unit symbols are also capitalized (W, J, N, Pa, Hz).
Thus there's no ambiguity. kB is power of 10 and KB is clearly not kelvin bytes therefore it's power of two. Doesn't quite fit the SI worldview but I don't see that as a problem.
It's really not all that crazy of a situation. What bothers me is when some applications call KiB KB, because they are old or lazy.