I imagine there are lots of policy types in the Department of Transport who like to use their points to upgrade and who will now be somewhat upset. It will make them more likely to offer less resistance to the idea of SQ flying from SYD/MEL to LAX/SFO.
I imagine that there will be less sympathy for QF as QF will be seen as just another corporation trying to minimise costs (eg. new crew bases overseas, etc.) and not as a 'national icon'.