Encrypted DNS has existed for quite a while now through DNS over HTTPS, the missing link was that to connect to a website, you first had to send the server the hostname in plaintext to get the right public key for the site. So someone listening on the wire could not see your DNS requests but would effectively still get the site you connected to anyway.
The new development (encrypted client hello) is you no longer have to send the hostname. So someone listening in the middle would only see you connected to an AWS/etc IP. This will make blocking websites very difficult if they use shared services like cloudflare or cloud VPS hosting.