I think that was a bit oversimplified, the Free File program was problematic in a lot of ways, but it's not like the US government was just sitting on their own

I think that was a bit oversimplified, the Free File program was problematic in a lot of ways, but it's not like the US government was just sitting on their own free file system that was locked behind a vault. They had to actually make the thing and it was never a given that they'd be able to do it. When the private companies said they'd offer their services for free to prevent the government from taking on the expense and hassle, it was sensible trade off. When the tax prep industry got greedy and overplayed their hand, they got bitten and are now in deep trouble.