Argument works for any regulation and creates a race to the bottom. Let's against with cars, Australia made a law saying that you can't sell a lawnmower with a seat duct taped on top as a car.

1. Australia banned LWASDTOT

2. Australian companies forced to use more expensive actual cars

3. USA, Chinese, Indian, etc... companies will sell LWASDTOT

4. Australian companies couldn't compete and folded

5. Major job loss in Australia

Etc...

Also works against India banning scam call centers, Russia banning cybercrime, and so on. Heck, hacking is already banned in the USA, think about how many more jobs they could have if that wasn't the case!