Yes this sounds like a very convoluted way to go about things, but I am not sure if it was the actual verdict that is so badly constructed that it demands this or that Google gives itself and everyone else a lot of unnecessary pain.

Samsung also does auto updates etc and co-exists with the play store on samsung phones (granted, it lives within their android skin), even updates some Google play store (installed) apps, so I am not sure what or where the issue is/lies.

But now Google wants app stores within app stores within app stores as a solution?