Wouldn't be the first time Google flailing with a user-hostile decision back and forth, only to gather bad publicity and further animosity towards their brand at the end with nothing of value gained for themselves. Google shutting down legacy accounts comes first to my mind.

So I still think it may or may not happen. If it happens, it better be worth it to them, as it'll repel many of the power users, making it the next unsexy browser after IE.