I don't think there's anything going on here other than general corporate ham-fisted-ness.
* Microsoft believes the improvements in windows 11 provide genuine benefit to their users.
* Microsoft doesn't want to maintain their older OS forever.
What we are seeing play out however is that the consumer / small business market either does not understand or does not care about those benefits. I don't see any viable end-state for this other than Microsoft relaxing the requirements for Windows 11 or extending the end-of-support date for Windows 10. Based on this action my money is on the latter.