If you don't provide a source for this, I'm going to call bullshit.
Screenshot of desktop Google Maps without sign-in: http://prnt.sc/d4j744
Screenshot of Android Google Maps without sign-in: http://prnt.sc/d4jwdy
Both look full of street names to me.
https://www.justinobeirne.com/essay/what-happened-to-google-...
it was on HN a few months ago
(Disclosure: I work for Google, on unrelated stuff.)
Google Maps has the whole download area features[0]. If you have an area downloaded, you can see the entire area rendered at (any/most?) zoom levels, see street names, and even get directions.
As for information density, it seems to be a choice of the Google Maps team to show less data at various zoom levels. That has little to do with talking to their online services and more about how the maps team wants to present data to their users.
[0] https://support.google.com/maps/answer/6291838?co=GENIE.Plat...
Just how long will it take for google to ask you to long it to do all those useful things that it does? Ability to escape googles panopticon is one of the reasons it's important to support OpenStreetMap https://donate.openstreetmap.org/
You prefetch the list of locations in the area of interest (there won't be that many compared to the humongous amounts of space Google apps consume already), you keep your user's "personality matrix" synchronized, and then when user asks, e.g., for a restaurant nearby, you display them from off-line cache, sorted by distance, characteristics and by how well they match user's personality matrix.
It would be that simple, if it was about actually suggesting places. But it isn't. It's about suggesting places that pay for advertising and successfully billing them, while also collecting as much data about the users as possible. It's a common occurrence on mobile (and also increasingly common in hardware and desktop software) - things that don't need to be on-line are put on the Internet nevertheless, to facilitate a specific business model.
I run tech for a few websites, and we could design for the "no JS" user, there are likely MINOR changes needed for much better support, but it's simply not something that we consider at all. I imagine it's similar with Google, they're designing for the logged in user, with maybe automated testing on the logged out user.
I wrote more on this and how to disable it here: https://unop.uk/on-google-maps-geotagging-and-privacy
Edit: looks like they have pushed out at least two new on-by-default features since I wrote this (not that long ago); 'photo view count opportunities' and 'new and popular places'.
I still think that this is unexpected behaviour. It belongs in the camera app, not the maps app. The expectation is that apps are sand-boxed and separate from each other.
I have anecdotal evidence from friends who don't normally care about issues like this. Yet they felt compelled enough to pro-actively share this with comments similar to "NO GOOGLE!", which suggests it's not just me.
One example - have you ever noticed how Google Maps has barely any street names any more? And the streets that are named are random tiny side streets, no matter how far you zoom in or out. It's because it's designed to be used in Directions mode with location services enabled, and only in Directions mode with location services enabled. You don't need street names if you're a dot following a blue line. Just coincidentally, this is the mode where they get full information about your journey.