Its just about same anything. Simple guilt-by-association is a real thing for google at least. You have an employee who's deemed by google as a bad app developer? That can impact the business that employs them even if its an unrelated app.
I can’t wait for regulation to arrive and stop this kind of behavior.
(And if there were regulations around this, Github would probably still have done the same thing, because "national security" regulations punch through "consumer protection" regulations every time.)