And what it usually looks like in practice is that regulators will extend an open invite to "industry leaders" to chime in on the proposed regulation. During that process, the interest groups advocating on behalf of the "industry leaders" will utter statements that aim to shape the regulation in a way that is beneficial to the corporation being lobbied for.

The end goal is typically to land on a new bill that will

a) give the regulators new fodder for legislative resume, so they can show their voting constituency that they accomplished something and

b) are not too expensive for the "industry leaders" to comply with. During the regulatory process this will get shrouded in language along the lines of making sure that the regulation won't cost jobs etc. But, if all goes according to plan, the regulation will

c) be insanely expensive for new startups to comply with, thus ensuring that any negative consequences that are caused by the new bill will be "invisible" because they will largely apply to hypotheticals (new startups wanting to enter the market) and small players that aren't on anyone's radar