It sounds like it is promoting a siloed cogs in the machine type of work ethic. Where you are either front end or back end and no one is thinking end-to-end about the system.
My concern is not specialization which I think is necessary for a larger company. It is more the technical solution of "here is GraphQL now your teams don't need to talk and you don't need anyone thinking end to end". I can't believe that is helpful.
I may have created a strawman though?
Segmentation makes some sense but the industry is lacking end to end thinking as you point out.