[downandout]

I believe it's describing "First-party apps with Facebook integration and/or OS features connecting to Facebook". It was OS-level integration to provide you with convenient access to Facebook data and features. The best example in the article was from Apple, who used it to allow users to post photos to Facebook directly from the standard Photos app. It wasn't so that the device makers could rifle through your data and influence elections or sell you things.

There's nothing to see here, but it sure makes for a provocative headline that will get lots of clicks and make the NYT lots of money from personalized ads. You have to love the irony.