Blanket bans of licenses are bad for free software. More pressure to revisit them is a good thing.
Fitting decisions like this around the status quo makes no sense. It's exactly actions like this which change the status quo. I'm happy to say there are dozens of organizations without AGPL bans thanks to one useful piece of code I wrote. Most are small, but one is in the tens of billions of dollars in valuation.
Many companies (our included) consider AGPL to be a poison pill. and until someone gets sued and the courts set precedent...
This sounds like a general problem, unrelated to licensing. If you work in companies with shitty policies, you are in for a world of pain.
I don't think this is bad forcing companies to choose between these two (or abandon the software), and they are fully responsible to making lives of people who work there easier.