What "hurts" Martrial Arts, is sacrifice for the sake of popularity.
That funakoshi trained in okinawa versus what he turned shotokan into in order to help it spread were complete opposites.
It happened with TKD as well over the years for a variety of difference, particularly Kukki TKD which changed a good deal since the 70'-80's
Its apparent when you see schools sparring hard like other styles do and its part of why BJJ, judo, MT, etc. have been so consistent. They havent sacrificed much. BJJ, Judo, and MT all have some, but nothing drastic as a change in focus or tons of padding and odd scoring rules.
Changing focus and sacrificing how things are done( in this case,) can impact the style down the line
Now, I put hurts in quotes because I think thats up to the practitioner. I'm not a fan of Kukki TKD, but i respect what it is and sparring that way occasionally is fun for me. Nor are forms the most important aspect of my training. But to others they are, so I'm not sure if Id consider it "hurting" arts.
As for the article, honestly just sounds like a "Drink more ovaltine" moment with the ovaltine being the forms. I like forms, but nothing he's talking about was lost. Application, bunkai, drills, etc have been passed down since the beginning as suggestions, starting points for newcomers, etc. I just wasnt a fan of the article because of how much the end sounds "Kata is all you need" which is where I draw the line