Probably a push towards using de-googled OSs like GrapheneOS (which runs Google services in a sandbox). Though on the other hand more and more apps are requiring Play Integrity verification. Things are not looking good.

In the long term it’s pretty much the end. Not only because of the move, because many services rely on apps that need certification and trust.

While GrapheneOS is a good alternative, it is ultimately dependent on Google not declaring an all-out war on custom ROMs (which is a possibility, however unlikely). Ultimately, the only true way to have FOSS phones is Linux (yes, Android is Linux-based, but not exactly as free as the Linux of desktops)

A month ago I just bought a xiaomi tablet for my main work machine. Full android, with no google play / google play services, and it runs f-droid and all the apps fine. Haven't missed any app on the google play store, or that require play services.

If google keeps on alienating people, people will move over to HarmonyOS, or a lot of the larger chinese companies making android devices will maintain their own AOSP fork, and google will be as irrelevant worldwide as apple is.