This is a weird flowchart, calling things out weirdly, like “Touch ID or FacelD are stored locally and cannot be accessed by the operating system or application

This is a weird flowchart, calling things out weirdly, like “Touch ID or FacelD are stored locally and cannot be accessed by the operating system or applications.” as if that's a negative? Since they call it out in the article as well, I really want to understand the "fragility of the privacy protections" on TouchID.