Yes, although notably this is about black-box DRM systems, not just your run-of-the-mill video codecs.

Standard versions of Firefox include non-free components by default because most users expect Netflix to work. ("Free" means "open source" in this context.)

Debian repositories (that aren't named "non-free") are supposed to contain only free software, so the Debian-packaged version of Firefox needs to be stripped of any non-free components. Should any slip through, that's a critical bug as far as Debian is concerned.

I don't think there's an issue here, it's just two projects with different goals proceeding as they're supposed to. We can have a discussion about all the things wrong with Encrypted Media Extensions and the like, but it's somewhat beside the point unless Firefox gains way more marketshare.