No no no, see, these regulations are working exactly as intended.
Google/Alphabet is looking for ways to extract more and more "Value(tm)" for their shareholders, and since they have already plumbed the legal avenues for revenue generation, the only options left are grey, and outright illegal methods of generating it, as it concerns user privacy, and as it relates to monopolistic business practices.
The "Innovation!!" that this, and other large companies are screaming about, is the "NEW! and AMAZING, MONEY MAKING OPPORTUNITIES!" presented by Flagrantly violating consumer and market ethics, and they are OH, SO VERY UPSET by this.
The pointed response to this, is to ask google, bluntly, what exactly it has really brought in terms of USEFUL PRODUCT in the past decade, because search is DEMONSTRABLY inferior to what it was in the past (which is enshitification, not innovation), and Google Play services are just a walled garden pretending to be open by comparison with apple's white-plastic-dystopia.
The only thing it's really invested in, is in new and increasingly awful ways to fuck over users of their platform for profit. (The a-fore mentioned Grey and Illegal practices I mentioned)
EU regulation is doing EXACTLY what it is supposed to be doing, and Google needs to be FUCKING TOLD THIS, VERY VERY FUCKING PUBLICLY.
Sadly, our regulators here are so bought and paid for by these trolls, that such a missive will be a very long day coming, but hopefully EU stands firm in actually fucking protecting their citizenry, as opposed to the fucking gilded age horseshit we have over here in the states about these matters.