This is mostly a good thing. The one part of it thats not good is that there is no real replacement. Most of the apartments here are very small, so visiting guests usually need to stay elsewhere. Hotels are very expensive here, so there is a gap where a short term rental style hotel is really needed.
I bet the app requires cloud hosting for it to run, and its starting to eat away at the profits they made.
If it needs nothing but bluetooth, then this a pure money grab.