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There's a pretty big difference between notarization on macOS and what's being described here.

Notarization is also optional, annoying as a user, sure, but still optional

What would that difference be?

The fact that notarization is not required to install an app on MacOS.

I'm actually curious whether they're going to allow non-notarization apps to be installed, but keeping it hidden away.

But any developer distributing non-approved applications won't ever be allowed to distribute on the app store as well without paying those fees.

The “human review” part.