The good thing about this is they thereby also support FIDO2 hard tokens such as Yubikey. The UI is often confusing but you can always tell it to provision the key to your Yubikey rather than the OS enclave.

That doesn't help if my machine (with only a few USB ports) gets stolen/lost with the token in it. It doesn't help if some of my devices only have USB-C and some only have USB-A. It's absolutely more annoying than letting my password manager fill things in or typing in a 6 digit code from my authenticator app.

Get a better password manager? Most store passkeys.

If the passkey can be stored in the password manager, then there's no second factor and what's the point?