Most likely yes. I don't think companies can be blamed for not wanting to subject themselves to EU regulations or uncertainty.

Edit: Also, if you don't want to follow or deal with EU law, you don't do business in the EU. People here regularly say if you do business in a country, you have to follow its laws. The opposite also applies.

In Meta's case, the problem is that they had been given the go-ahead by the EU to train on certain data, and then after starting training, the EU changed its mind and told them to stop.

They probably trained on data protected by privacy laws, similar to Meta.