Nope, this means just that they can reset a locked and wiped device so that it's no longer just a paperweight or source of spare parts. Literally what they did was find a way to make the devices call up their server instead of Apple's for the authorization to unlock without the password.I haven't read all of the posts, so the activation lock is affected only? Should we change our iTunes/iCloud passwords?
In other words: Thieves can now once again wipe your device and sell it on to some unscrupulous bargain hunter. The fix for this is obviously move the host list into some kind of protected memory space anything except the device itself can access.