"Let the market decide" 
1) Market already settled on USB-C
2) Regulator agrees, and pushes the remaining resisting bad actors for the forseeable future, avoiding waste of resources for futile OEM agenda.
3) Regulator is smarter than usual, and lets USB consortium free to handle a compatible sucessor
4) if you wanna push your new standard foward, you'll have to argue with USB consortium how it is backwards and forwards compatible with all the usb-C hardware out there, and what added value it provides towards the standard.
Makes sense.
And more important, it sets the precedent as a warning to every company seeking to foolishly monopolize/monetize the design of a critical interconnect in the future: MAKE IT BLOODY OPEN, SO IT CAN BE ADOPTED BY OTHERS, and is an actual interconnect, and not just a waste of resources !! Winner takes it all.
Interconnects, as the nme suggests are meant to INTER CONNECT, not to bar from compatibility by using planned incompatibility as a tool for OEMs