Of course there are multiple issues at play, this is one of them. Are you proposing that the extra layers of legislation around technology companies don't hamper innovation?
(1) The parent definitely implies that this is the main differentiator between US and EU.
(2) I don't think (meaning, I haven't heard except in the vaguest of terms) that there is that much "extra layers of legislation around tech". GDPR comes to mind — and honestly it's not that much of a bother, it just mandates things that companies should already be doing.
