If should be just as easy to inspect extensions as it is for web pages, including all the network requests they have made.

To be precise, I wasn't advocating requiring OSS, just source-availability. Extensions should have at a minimum a visible repository displaying the source code, where users and auditors can publicly comment or leave issues (ideally, which the maintainers can't remove). Chrome should verify that the extension code matches the code in the repo (without an additional build/compile step - the repo should reflect the exact code being shipped in the extension). This way prospective users can inspect the code of an extension without installing the extension first and mucking about in dev tools.

> Ability to fix and deploy bugs is important for extensions just like any other software.

Ability to fix bugs, sure. Ability to deploy bugs (without user consent or knowledge) is an antipattern ;P Third-party browser code should never be shipped to the user without their consent and full transparency into what is being shipped. Users who don't intend to inspect the updates can opt-in to automatic updates, sure.

> Obfuscated code is already disallowed

This is great! Though they distinguish between minification and obfuscation, which is bizarre. Intentionally obfuscated code is hard to detect. I was suggesting they also disallow any form of minification (or at least require extensions to distribute with minified and unminified options, and have minified bundles verified)

> It is already possible to know which extensions are active on a page: https://i.imgur.com/73lmozH.png. This is a better level of observability than what you describe because once an extension has access to a page, there is no way to prevent it from exfiltrating data from that page. The communication with background page is not relevant. There are myriad ways to exfiltrate just given access to normal DOM, unfortunately.

This is true, but even background scripts which don't have access to the DOM can communicate with the content script through sendMessage.

A user looking at the network panel on the page might not see a network request sending their password to a strange server if the message is being sent to the background script and the request is being made from there. All communication in and out of the sandboxed extension environments should be logged and inspectable from any page where the extension contexts are being communicated with.