I do get that there are use cases for actual hardware bound keys for enterprise settings. But having non-exportable credentials (effectively non-ownable) is not acceptable in a consumer setting. This is a thinly veiled attempt at strengthening platform lock-in.
replyLook, the spec says you can't export the keys to a file! Too bad, go re-register your 120 websites if you want to stop using iCloud/Google!
Particularly because "you must use only an approved passkey manager" is fairly easily solved by MDM, which is already widespread.
replyIt's DRM, and it will go down exactly the same anti-user and anti-competitive route as every other DRM. Fight it with fervor.