It's far easier to produce vegetation than it is to produce meat (using current methods), so, if the flavor transformation technology becomes cheap enough, it would be far easier and cheaper to create all food this way. This method would be far better for the health of the society as well.
In all likelihood, flavor transformation technology will lead to more and more vegetarian diets. Most people don't like the vegetarian diet due to the flavors involved with such a diet. Such technology would make these diets more tasteful for people who would otherwise love the health benefits associated with vegetarianism.
No. While vegetarians always seem to have this very strange delusion about this or that being the tipping point that causes most people to become vegeterian, this will never happen. No matter how much flavor transformation technology or anything else put forward, it's just not the same as animal protein.
A vegetarian or near vegetarian diet is going to be more beneficial for the planet, but most people take a lot of encouragement before they try it and especially before they stick to it. So the new flavor transformation technology might be an introduction but it is not going to make a big change.
Vegetarian diets will not be encouraged through use of the new "flavor transformation technology". They can do what they want to food but there will always be meat-eating people in this world. Nothing will ever change that. Creating something superficial will not take the place of the real thing but we never know.