Ok, I just read the facts they list and state and I come away with a very different perspective. XMPP for all but the most advanced end users is dead at google. If they are using the protocol internally matters little if the user experience and federation is broken.
> Google was in a position to change all that when they adopted XMPP for Google Talk.
I'd add to that that if they considered XMPP inferior for whatever reason, they were in position to change it by opening up Hangouts like XMPP-next or whatever. They simply betrayed the whole effort.
Oh, I think we can agree that the situation is far from ideal. But this is to note that nothing has actually changed recently, as opposed to what has been written last week. With the exception of Voice over the old GTalk network, that is. And, of course, to highlight again that Google had the best way to describe why it is important to have choice, and then removed that choice.