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I think the article is a little unfair. I haven't had any problems so far as getting books distributed to other sites. As for discounting, I'm not exactly sure what Kobo is doing. I have one book (under another name) distributed through Smashwords to Apple, Sony, Kobo, Barnes & Noble, and Diesel, but directly through Amazon.
I listed the book for $0.99, which is how it shows up everywhere. On Kobo, however, when I search for the book it comes up as $1.09 discounted to $0.99. And then when I click on the book, the book's page shows the discount as $0.99 discounted to $0.89. The book hasn't been reduced on Amazon or disabled.
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