The original policy is documented here: https://web.archive.org/web/20220818100735/https://support.g...
What the post misses is Google has exceptions for:
- Parental control and enterprise management apps.
- App usage tracking.
- Device security apps (for example, anti-virus, mobile device management, firewall).
- Network related tools (for example, remote access).
- Web browsing apps.
- Carrier apps that require the use of VPN functionality to provide telephony or connectivity services.
The part where manipulation of ad-based monetization isn't allowed has always been there in one form or another.
A firewall can also be used to firewall ads/trackers though, and so it remains to be seen what Google makes of such apps (there are plenty!) come November (supposed deadline for compliance). Blokada v5 (and below), otoh, isn't a firewall, but a UDP-only DNS client.