This sounds plausible but do you have evidence that it is actually true?

An equally plausible reason for the proposed change is that European leaders see what media consolidation leads too. Too many people relying on too few sources for information. Perhaps this legislation is an ill thought out way to try to counteract the Facebook/Cambridge Analytica controversy.

Newspapers, and magazines are dying. They are no longer able to do the sort of investigative journalism like in the past. Consolidation has led to a degradation of quality and has caused too few people to control too much information. Witness the shenanigans of Sinclair Broadcasting recently.

I don't know the merits of the legislation in question but without evidence it's a hard sell to ascribe its passing to what you claim.