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After gaining access to the browser I used in the past, what I'm seeing is that the download and cloud tabs were still there until I read a new book. At that point I got a message about download the app for offline reading and then those tabs were gone.
As for the DRM, apparently, this is not DRM across the board, but just some books that are not compatible with the could reader. The previous downloaded books with DRM still worked, some DRM books do download and work, some books get the "can't open this book" message.
Since I had not tried the incompatible books before, I can't tell is this is a change.
The books I brought up in the reader this morning were indeed downloaded to my machine so it does not look like there is a change to what the reader does, just to what it shows.
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