This is good or bad depending on who you are. If you're a user who went to reddit to have conversations with people online, it's bad. If you're that user, this API change and loss of 3rd party apps is yet another nail in the coffin.
If you're a newer user (~5 years) who came to reddit for its social media experience and just want a feed to scroll with memes and pictures of cats, this is API/3rd party app drama is entirely irrelevant to you. This is now the majority of reddit by far, which means reddit the company is just fine.
There's nowhere to go for us classic forum people. There is no equivalent to 2013 reddit. I'm would love for this to be a kick in the ass and to be enough to jump start alternatives, but right now I'm not optimistic. Too much focus on decentralization etc. which I think introduces too much friction for not enough gain.