This feels like treating one particularly visible symptom of the problem instead of fixing the actual problem. What Google should do instead is prevent apps from refusing to work or disabling unrelated functionality just because some permissions are denied (e.g., if you deny your banking app permission to access your camera, everything but mobile check deposit should still have to work). They should use a two-pronged…
This particular issue didn’t get addressed until at least 8 months after TechCrunch exposed the practice. Where was Google?
Control of the App Store and Play Stores should be carefully transferred to an independent organization, with an open governance model and a mission to serve consumer interests. It won’t be perfect but it would be a big step up.
If that can’t be done for whatever reason, find another way to disrupt the App Store. I struggle to think of why not doing so is a net good for society.