I think that this is a bit disingenuous here, and I'm the first type of person to be anti-government when it comes to these things.
First off, this has nothing to do with what game companies can and cannot do with the content in the games. The issues are centered around how purchase affect hidden gaming mechanics and the social engineering that occurs underneath the game as a result of these purchases
that the player knows nothing about, nor is ever disclosed to the player.
Let's say I have a game where you fight enemies to defeat them to get to the next level. The game is $50. You pay $50 for the game. Now, I also have content in the game that allows you to spend to buy upgrades to make accomplishing tasks easier, such as round extension packs, damage boosters, etc.
Unknown to you, and I never ever tell you this or disclose this, I track who pays for additional packages and content, and make the game harder for you, knowing that you will spend money to get over challenges I present to you in the game. I track which parts of the game you spend for and which you don't. I artificially change the game FOR YOU based on your spending habits. So the more you spend, the harder the game is for you, so that you spend more to get further. For example, if you buy that ultra mega extreme $999.99 pack, your enemies will all have an inate bonus to their attack and defense, unknown to you. But to those that bought no packs at all, the enemy will have no bonus to their attack and defense. In the end, you will advance further than the person that doesn't pay - simply because you can "buy" your way to better content - but one day if you decide to stop spending money, the next wall you hit, you'll never pass because I've made the game so difficult for you now that you have no choice but to spend or quit to get past (or if the game is balanced very very well, you would require a ton of luck and skill to get past it where a free player can require just a little luck and little skill -- even though you would have gotten to that enemy well before the free player did).
Read this, it's a really good write up on the issue. Not the same as my example, but yet another issue that explains things well.
When Games Pretend to Be Games They Aren't - Overthinking It