Your deluded if you think they are "giving away" EMH. People pay for it as part of their, generally, over priced rooms. All those "perks" are factored into your hotel bill. Not to mention those "free" perks encourage people to stay onsite rather than offsite. So these perks they are "giving away" according to you, do exactly what i said in my reply - put butts in rooms. Butts in rooms = money. Money is the endgame on EVERY decision, but that doesn't mean that blatantly charging for something niche automatically equals more money in the long run.
Your typical family is going to see stay onsite, and it's perks, as a justifiable expense as they derive slight benefits from it throughout their stay. Start removing things like EMH and upcharging it to the tune of $150 a night per person, and you are talking about enough money to add multiple days to the end of a vacation versus 1 evening of lower lines and ice cream.
Will some people take advantage of the $150 premium? Sure. Will it be anywhere near the number of people who choose to stay onsite due to perks like EMH? Impossible.
This is a way to make extra money in between EMH nights. For that matter, it doesn't compete with EMH at all. It goes later, it has a limit on ticket sales (versus, hey, all the thousands of resort guests are welcome), and they add in the snacks to make it feel a bit more "special"
Bar none though, EMH is *NOT* free right now. And calling it free is a huge blind spot to the way their pricing works. That's like calling the magicbands "free".
If EMH goes anywhere, I can see it being removed as a perk on the value resorts as a way to push people to moderates and deluxes. Similar to Universal's extra benefits on their higher end hotels.