Ya, they are enabling GVT-g on all their GPUs going forward including the ARC branded devices (not just the embedded GPUs with Xe branding). They have no plans to lock out those features on consumer devices. In fact I bought a $700 computer from Best Buy that had an intel discrete GPU in it for development. :)
Ya, I have been talking with the Qubes guys. I'm trying my best to figure out how I can help them ship something with LibVF.IO but they are currently based on Xen which uses Libxl rather than VFIO which may present some challenges.