> The concept of a passkey as desired by Yubico was that every user buys a set of hardware keys, uses those instead of passwords, and has no ability to authenticate otherwise.
This was never a great idea, it was totally unworkable for nearly everyone. Physical keys work because locksmiths exist, keys can be copied, and users get to choose when they lock the door/box/whatever. And even with those benefits they're rapidly being replaced for a lot of people with PIN codes or mobile apps precisely because physical keys are suboptimal.
Hardware keys as envisioned here cannot be copied without registering the copy separately with each and every service, have no equivalent of locksmiths besides "store these 10 recovery codes somewhere safe" (also unworkable as a solution), and between session timeouts and multiple devices users are regularly unable to predict when and where they will need to create a new session.
Hardware keys were designed for a spherical humanity, not for the humanity that has to deal with ADHD, dementia, babies, kids, fires, floods, and a host of other failure modes. OS keys inherit many but not all of the flaws of hardware keys, but at least they don't rely on a human being responsible!