Since this is on the central vertical tube of the bike that carries your weight on top of it, I'd say that this is just cosmetic. This tube not under tensile load, so it is not prone to fatigue failure, and it's not likely to buckle either. And since it's aluminum, your tubes all have rather thick walls.
I'd be more worried if this was on the down tube (connecting bottom bracket and head bearing) because of the danger that the damaged area allows fatigue cracks to start. In that case you wouldn't know anything's wrong until your down tube suddenly breaks apart. I wouldn't want this damage on a chainstay either for the same reason. But the seat tube, that should be fine.