This. The alt right in German speaking countries are calling themselves "Identitäre", which was inspired by French Les Identitaires. For all their criticism of what once was just a niche and fringe academic leftist movement, they are hypocritically are mirroring at least mirroring it if not more so. I believe they have actually helped progressive identity politics become mainstream as a reaction to their attacks on minorities, as a reaction to their hatred the mainstream has signaled their solidarity with minority identities, this is the main reason for Rainbow flags, to show solidarity against hatred.

Are there any examples of identity politics influencing the Omarchy product?

I think the comment is more about how identity politics kept infecting products through 'woke 1.0'. donglegate, language policing, default branch names, speaker progressive stacks, diversity hiring practices and blacklisting. I don't think I've seen these political issues influence DHH products the same way.