Is that not the worst possible situation from all viewpoints?
Customers (players) worry about time spent (and are put off or unable to enjoy).
Game design suffers due to incentive to make interaction take more time and effort.
Overall result being not just grinding with (some) effort, but actually just sitting around doing nothing.
And eliminates income from those who would throw money at IAPs
I don't think so.
Players don't worry about time spent any more than before. They know what they pay and they'll see what they get in excahnge.
If designers try to slow down the gaming experience, players will play other games. Since there is no money invested in certain game, you can change anytime. Have you ever kept watching bad movie on Netflix, because you already paid for it?
Maybe my point is too "scandinavian" ie. focusing on equality, but I think freemium is the worst thing to gaming. Suddenly you can suck in gaming, but buy yourself to go up. A bit same that you could buy points in NBA game.
Parents worry that how much their kids need to spend money on games to be popular.
Gamers that really try to be good get frustrated when somebody "buye them out".
Freemium is compelling to designers, since lots of people try the game and some might pay huge amounts playing that game.
The old method of shareware where you can try first and then buy has pretty much gone.
So in addition to freemium there there's two choices: pay all in front or pay as much as you like the game. I think measuring how much you like the game is pretty nicely calculated by the time you play it.
The netflix model if good only when you use it a lot. Or there's more people like in the family. So paying for personal games with monthly fee isn't option for them that play them only now and then. But these times when we are always connected "games-as-a-service" is possible and attractive. And it is technically yeasy to charge per second, minute, hour, day, etc.