It incentivizes subscription-based games.

> However, it excludes games provided via subscription services, free-to-play games, and games that are inherently playable offline indefinitely.

Live service games overwhelmingly fall into exactly this category. If anything they're being incentivized over making a game that has an online multiplayer but focus being singleplayer or anything intended to be released and moved on from.

No it will make everything a live service game