Even if you cap favicon size you don't solve the issue you're discussing at all.
A bad actor web-site can just move from favicon to an image, script file, or just return an indefinite series of HTML characters with no end.
The only way for the issue you want solved to be solved is for mobile browsers to add a "max page size" option, that will stop downloading content after it hits the cap.
In general this favicon bug is neither here nor there with the issue you're concerned about. Nobody needs this to waste your bandwidth.
The only reason this is noteworthy is that it is a little embarrassing for the browser vendors and it causes the browsers (Firefox and Chrome) to crash.