If I were a WP plugin developer / hosting provider I would be scared out of my buttocks and look for more reliable environments. If they do it to WP Engine, what stops them from doing it to me? Seems to me that it's just "Automattic doesn't have a problem with me" which might change at any time.
Speaking as a user of wordpress (hosted on my own infrastructure, not theirs), this is an entertaining - if pathetic - fight between two entities that doesn’t really involve me.
What would change that, and make me more likely to abandon Wordpress (taking the money my business spends in that ecosystem with it), is if things start to happen, such as a login checkbox with potential legal implications, that gets in my way of using the thing that Wordpress wants me to use.
Whether or not that sentiment is shared across a larger subset of wordpress users I do not know, but I have a pretty strong spidey sense that this crusade is burning down the countryside it’s supposedly trying to save.
For devs who make a living off hosting/plugins/themes they might keep an eye on things but why move if the money is still coming in?
For users, I doubt much of them will ever know or care -- unless you're on WP engine.
Wordpress is still the most widely available, cheapest and easiest (for non-tech user) to customise software to make a website with.