I think that is even more crazy.

The problem wasn't with the issuing 1099-Ks.  The companies that issue them should have no problem with the changed thresholds and presumably have already changed their programming to the new thresholds.

The potential problem was with what the IRS does with 1099-Ks.  A better 'fix' would have been for them to announce what they did when they first came out - that as of now they will not be automatically 'matching' them but will just use them for an idea for what is going on and to watch for patterns.