Right now, you can do full disk encryption on an Android device (which seems likely to become hardware-assisted on future devices similar to the solution mentioned in the article). If you pick a sufficiently strong passphrase, that should keep your data secure even on devices without hardware assistance. However, if the device is turned on and locked (the common case), it's trivial to remote-install an arbitrary app, including one that unlocks the phone. (You can do this yourself with your Google account, which means anyone with access to that account can do so as well.)
It would help to be able to disable remote installation of any kind; that wouldn't have to come at the expense of convenience, because the phone could just prompt (behind the lockscreen) to install a requested app.