Interpreted literally, it implies the collapse of the idea of state sovereignty. States are our primary administrative unit within the international system. If they are unable to control the populations that (A) they have control over, (B) they extract revenue from, (C) they take care of, then our system of governance will collapse.
Which is why we need to move beyond a State-based model of political organization and lay the groundwork for global (or at least macroregional) governance in at least some key areas of policy.