Just in case you were operating under the illusion that tech giants are run by forward thinking executives who are immune to the usual politics and problems of corporate life. Nope, most of their exec layer is a bunch of people who cut their teeth the industry in the 90's, and are operating within a thick fog of local workplace politics. I guarantee that behind this move is an executive who believes that developers need to be physically colocated to be productive, because that's how it worked when he was coming up at WordPerfect or whatever. Backing it is also a group of people who have a lot to gain from it politically.
At my employer we have some pockets of embarrassing leadership like this, but thankfully I haven't seen it in anyone senior enough to make global policy like this. My department is letting go of remote teams and only hiring in a handful of cities around the world, while ramping up office space spending. It's more expensive, less flexible, and less productive... and everyone knows it. But I guess it makes some people feel important, and it's how some others remember developing when they last did it 20 years ago. So it's happening anyway, and many of their best engineers are now on the market.
At my employer we have some pockets of embarrassing leadership like this, but thankfully I haven't seen it in anyone senior enough to make global policy like this. My department is letting go of remote teams and only hiring in a handful of cities around the world, while ramping up office space spending. It's more expensive, less flexible, and less productive... and everyone knows it. But I guess it makes some people feel important, and it's how some others remember developing when they last did it 20 years ago. So it's happening anyway, and many of their best engineers are now on the market.