Or maybe we're just returning back to normal. Consider: historically, in hunter-gatherer societies for example, everyone knows everyone, and that's their social circle. You don't really interact with random strangers, except in very few, usually very formalized ways (or warfare).

Compare this to our existing society: most of the people that you're expected - in fact, required (at work etc) - to interact with, are strangers. Most of our communication protocols deal with various aspects of that.

With this kind tech, we retreat back to our comfy bubbles of familiar people that we've known for a long time, and away from the strangers.