I think you're confusing movies and books. Most movies have no plot past the Hero's Journey and no character development that can't be translated by a computer into every language on earth.

Do you feel the same way about movies made from books?

Pretty much because its very difficult to fit long and complex storylines with more than a few characters in 2 to 3 hours.

You should play Rockstar’s Red Dead Redemption and Red Dead Redemption 2. RDR2 is basically a choose-your-own-adventure movie. But so much better. I read a lot but I was more emotionally invested in these fictional video game characters than I’ve ever been in characters from a book or a movie.

That's one game, not 'most'. Lots of games don't even have characters at all, let alone character development. It's bizarre for someone to say "most games don't have character development" and someone else says "here is one game that does". This person said "the best games have in depth character development" when it's very rare even in the biggest and most popular games.

I read that as a simple recommendation, not any kind of attempt to disprove the thesis. I see no language indicating otherwise.