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My kneejerk reaction to this is to panic about the opposite of what the concern here seems to be. Seems to me like ubiquitous surveillance via any and all available technology is a bigger threat than "going dark" would be. I know encryption can provide an obstacle for law enforcement but my inclination is to worry about privacy in society over potential lawbreakers.

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This ^

It seems to me that all this report is saying is: "Hey government, don't worry about tech 'going dark', we will still have the ability to spy on people through their poorly implemented Internet of Things devices, services that won't use end to end encryption, metadata, and because software is still fragmented."

But they don't seem to even slightly condemn the simple fact that governments are turning into surveillance machines...

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