Increase fuel economy -> Introduce fuel economy standards -> Economic cars practically phased out in favour of guzzling "trucks" that are exempt from fuel economy standards -> Worse fuel economy.
or
Protect the children -> Criminalize activites that might in any way cause an increase in risk to children -> Best to just keep them indoors playing with electronic gadgets -> Increased rates of obesity/depression etc -> Children worse off.
As the article itself says: Hold big tech accountable -> Introduce rules so hard to comply with that only big tech will be able to comply -> Big tech goes on, but indie tech forced offline.
Many things in a society exist on thin margins, not only monetary, but also of attention, free time, care and interest, etc. You put a burden, such as a regulation, saying that people have to either comply or cease the activity, and people just cease it, like in the post. What used to be a piece of flourishing (or festering, depending on your POV) complexity gets reduced to a plain, compliant nothing.
Maybe that was the plan all along.