It's quite common for app bundles to be distributed in .zip files, and to be stored on-disk as filesystem-compressed files. However, having them both appears to be an edge case that's broken for at least two major releases! (FB19048357, FB19329524)
I'd expect a simple ditto -x -k appbundle.zip ~/Applications (-x: extract, -k: work on a zip file) to work. Instead it spits out countless errors and leaves 0 Byte files in the aftermath 😭
Please fix.