It doesn't seem to actually go this far -- it means however that any repository for this free software, which can be obtained from the open repositories around the world, would need to have age verification in place. Meaning that in order to access all of this FOSS, there would be the cost of providing this filtered redistribution service. However it doesn't seem to suggest anyone would be afoul of the law for using a VPN to access it for themselves, likely undermining whatever funding model that service was providing.
It's frankly patently absurd all around.
The one amusing point though I suppose is the fact that Microsoft owns Github, and so while many repos could go ahead and say fine, we don't do business in the EU, Microsoft itself would be the company most impacted by this, as they would need to add in age verification for Github, not really having the easy option to just write off the EU as a bunch of technocratic lunatics.
Furthermore, it gets interesting when we consider cloud computing -- if a child has an AWS or Azure VPS, does this mean the cloud provider must do age verification before providing access to distribution provided repositories? There aren't many kids that are using text based protocols, and probably even fewer that are using finch's discord plugin to access perhaps a more popular platform among youth, but at the end of the day, these are provided.
And then there's the whole matter of web based IRC or other chat services.
Really, did they think about this at all?