This has always been true that bringing in people to low-end Macs could have those effects, but they've been outright refusing to play in the actual low-cost market for 40 years, I see no reason they would change their strategy now.One of the reasons may be to bring more people into the Apple Ecosystem in an affordable way - people who may feel that Macs are out of the question because they are to expensive as compared to low-end PCs (or ChromeBooks) may now be lured in. So, this super affordable MacBook may help bring more people to Apple's services, which is a huge revenue maker for them. This would also extend to other Apple products once they're in.
In my opinion, especially Tim Cook's Apple does not have any interest in growing market share -- especially in the low end. Look how they don't even attempt to convince people to pick iPhone over Android. Their marketing is purely brand driven. "Buy another iPhone because you're Team iPhone and the blue bubbles confirm your in-group status" is the main thrust of their marketing now.
Tim wants one thing and one thing only: Profit. And the 'danger' in Tim's eyes of a true low-end Mac -- one competitive with the many perfectly good $600 laptops like this -- is that it eats into sales of $1200 MacBook Airs ($1200 is the cheapest you can get a MacBook Air with 512GB storage). If Apple shipped a $600 laptop, most of the buyers would probably be "Mac People" 'buying down' for their next laptop, rather than PC people switching. And each of those lost $1200 sales would mean about $550 profit lost, replaced by only maybe $200 profit on the low-end mac.
This is why this Mac will either be more expensive than anyone outside the Apple-sphere would consider "low-cost," OR be severely limited, to ensure it's very unattractive to anyone that already daily drives a Mac today.