One thing I agree is that if this is what China want to do with their country then let them have a go at it. It's their country, people have different values and beliefs in China that citizens from the West will never understand. We can disagree with them, but it is not right for us to interfere or try changing the way how their society functions. Only the future will tell what's best for all of us.
Collectivists will love it. Individualists will hate it.
Nothing in life is black and white as we tend to label them. There are always pros and cons in everything. As we approach the age of AI, this chapter could even be considered as a new experiment in the history of humankind. None of us can accurately predict the future so it might actually be beneficial to witness the outcome from such experiment. Good or bad, there will be something here for everyone to learn.
If the entity 'taking care' consists, ultimately, of a small group of elites, this really just boils down to a few individualists controlling everyone else. That's far from collectivist!
I'm open to the idea that this is not currently the case, but it wouldn't take much for it to be so. That's why, as a collectivist, I am inclined to be more on the 'hate' than 'love' side.
If by "group" you mean china's citizens then that assertion makes no sense at all because it's not possible for something to go against the interests of all individuals to be good for all citizens.
On the other hand, if by "group" you mean China's ruling elite then of course it's always in the interest of a totalitarian regime to oppress its citizens.
Some will be supporting it. It will make it easier to trust people.
As a group it will be good. For an individual it will suck. We all know how difficult it is to change ourselves.
Most foreseeable change I can see is that Chinese tourists being seen as nicer and more friendly as the rude ones with low social scores won’t be able to get a visa.