The seed extension (known as a “passphrase”, “password”, “25th word”) is typed on the computer’s keyboard?

I was reading the documentation and it looks like the way seed extension is handled is not secure because it's susceptible to key loggers, screen grabbers, etc.

Can you confirm that the way the seed extension is being entered is by computer's keyboard?

Does newer versions solved this problem and which?

The entire point of having a hardware wallet is to prevent the malware, running on the general purpose computer, to not intercept the private keys (and the secrets used to derive the private keys – the seed, the seed extension and the pin code).