Sorry, but no, that's not how it happened.

There were multiple authorities with different ideas which blocked developement.

Google didn't block anything, just rolled out XEPs which its client supported and others sometimes did, sometimes didn't, and didn't really want to, because, first, around 2007 the expected requirements to an IM were different, so nobody felt pressed, second, they didn't discuss it with anyone.

So, for example, Jingle (VoIP) support was more like a toy - a few clients had it, but disabled by default and nobody cared to test it much.

As soon as there was only one Authority left, developement sped up rapidly.

Eh, and which would that be? What I see is exactly how useful XEPs were introduced by different people, and sometimes even replaced old XEPs for the same purpose, organically, with no authority involved.

By market forces, one could say.