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It's not FUD. The "install unknown apps" toggle already does what you're describing. Whatever the intentionally vague blurbs from Google imply, whatever the new toggle ends up being will be worse.
And that doesn't account for the need they're creating for a "student/hobbyist" account that Google is creating. If you use such an account, your app can only be installed on a limited number of devices, which Google will control.
It's just going to be an evolution of the existing toggle, with a bit more scary language around it.
Again: Google would not be doing this if there was no perceived benefit for them. If it was merely a matter of adding a scarier warning, then what purpose does the new "student/hobbyist" account type that restricts the number of devices your app can be installed on serve??
That's not what the article says at all. It is saying there will be a path to install unsigned apks, which by definition would not be attached to any developer account.