I would posit that he most likely meant that the full ride scholarship and opportunity to earn a degree that a player receives is fair payment for their athletic talents.
I would stand by that statement as recently as 2003 or so, but since that time, the money in the game has skyrocketed, and the stakes for players are at least perceived to be higher due to constant media/social media coverage, and we all know that perception is reality. Coaches salaries have exploded. Practically every college game is televised. There is a whole industry feeding off of just fan interest about recruiting. A great many blue chippers (and scores of not-quite blue chippers) see their future as pro football, a game where players have a finite window where they can be productive and earn money. Schools like IMG Academy are charging insane money to prepare kids to basically audition for FBS scholarships. If a player is sitting on the bench for a few years, they aren't just "waiting their turn," they are missing out on their pro audition... their opportunity to generate buzz for themselves. That is a pretty high opportunity cost to stomach. Enter the transfer portal, which is really the least that schools could do if they want to keep college football as a free minor league. Does anyone wonder whether a player's education suffers after transferring one or two times?
I think that the real problem is that players have to go to college before they can play professionally. Universities are financing their athletic departments with football, so they want to keep that rule intact. Unless players that are planning their careers around football are able to enter a true minor league like in baseball, then I think there is going to have to be a payment structure put into place for players. I worry that this will open Pandora's box... Will schools start to offer signing bonuses to recruits? Will star players earn more than bench warmers? Can a kid keep his scholarship but have his salary taken away?
If a football minor league appears, then I think college football will start to look like college baseball, which I see as a good thing.
This was a longer post than I expected.