Yeah, the question is can they get enough tourist traffic in there that'll play anyway. If so, that's a signficiant addition to the house edge and it is perhaps more subtle than hitting on soft 17.
I have heard of other strip casinos testing the same thing.
I personally think it would be a mistake for Vegas to start cutting into the edge too much. Their profits are solid off the games as is predominantly because the women shovel money into slots while boyfriends and husbands play the tables. But I think one reason people continue to trek to Vegas for their gaming fix as opposed to hitting Native American Casinos and others that are closer by are the looser rules.
Strip rules have typically been 3:2 on blackjack, dealer does not hit soft 17, you can double down on any first two card total and surrender is offered. You rarely get all of those at a smaller casino outside of Vegas.
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