I sort of agree with this but I think more in terms of projects/activities (e.g. casual media consumption, banking, working on different projects) rather than applications. To do different activities I need different combinations of tools but often the tools overlap. For example I want to sandbox the browser I use for watching cat videos on youtube from the browser I use for banking from the various browsers I use for work. So that some drive by on a casual browsing site can't attack my banking. But I don't want two browsers installed I want the same program in the same version with some common and some different config - but I don't want to manage the common config in 5 different places.
The multi-user model allows for some attempt at this if one sets up multiple user accounts for the different activities. It certainly isn't sufficient but I'm not sure that sandboxing each application will actually get us there either.