You can, of course, switch off location for google maps on android, and I'm surprised this article wasn't fact-checked for that. Settings->Apps->Maps->Permissions. Same as any other app.
I'm assuming the confusion is because the 'location settings' option in maps settings takes you to the phone's global location settings screen, which does only offer a global toggle. I don't think there's anything nefarious there, it's just that the settings menu isn't terribly well thought out.
disclaimer: googler on maps, but not android maps
edit: The article has been updated and now reads: "Although it makes far more sense for Maps to have access to your location, the latest build doesn't give you a decent option of turning it off. If you do cut off Maps' access to your location, "basic features of your device may no longer function as intended," the operating system warns."
Not that they've bothered to update the rest of the article.