Unfortunately, this is bad news for the makers of the third-party apps. My personal favorite is Pocket Casts. They put a lot of work into creating a great user experience for podcast listeners, which seems to have been replicated in some ways in Apple's "official" podcast app. (I'm not saying Apple copied them, just that some of their UX conventions also exist in the Podcasts app.)
As I say, Apple did need to fix the current way podcasts are handled in iOS. Overall, it's probably going to be a good thing for podcasters, as it will make it easier for the average consumer to subscribe and consume podcasts.
It just makes me feel bad for the app developers who have gone through so much work to create excellent products, only to see their role shoved out of the way as Apple integrates this new feature into iOS. It's an old story; Apple's been doing this sort of thing on the Mac for ages (remember Coverflow?), but it still gets to me a bit. I'll keep using and loving Pocket Casts, I just hope they and others can compete now that Apple's got their own Podcasts app.