Consolidation can be bad, but I don't think it's bad here, let me tell you why.
First, it means that FromSoftware will be free to make Bloodborne games without any hurdles. Second, pairing FromSoftware with technically superior Bluepoint games will make their games more technically proficient and get games out quicker. Third, it means that Kadokawa/Bluepoint can focus on making the console game perfect and leave the PC porting to Nixxes.
It means we'll likely see A LOT more Demon's Souls, Bloodborne, and Elden Ring because FromSoftware can focus on the creative side of things without having to worry about PC ports or technical limitations.
From a negative perspective though, it'll probably mean PC gamers have to wait a year to play these games, but they'll still get more games and sooner than they would have otherwise, and they'll be better games.
Xbox gamers? 100% shit out of luck. There is no chance From continues to develop Xbox games if this goes through. Just zero chance.