This law effectively diminishes the ability of those private entities to enforce their own laws and terms of use. That sounds like a win for regular folks like me and you.
If a government has the power to make private entities host user content they don't want then they have overall regulatory power and can go in the opposite direction as well. That's why government has no business regulating private entities for "freedom of speech". Unless you want the government to be your speech.
As I said and you didn't address - this is a powers issue. Governments don't just get granted one singular law and nothing else. That kind of law gives them overall power to regulate. If a government can tell a private entity that they have to host user content they don't want - then they can do the opposite as well.
If your not familiar with powers issues then you have a lot of education infront of you.