This sort of move has no downsides for the incumbents. Either they succeed and achieve regulatory capture or they poison the well sufficiently that further regulation will not be feasible.
Ultimately, the reward for attaining an AGI agent is so high, that no matter the penalty someone will attempt it, and someone will eventually succeed. And that likelihood will ensure everyone will want to attempt it.
Ultimately, the reward for attaining an AGI agent is so high, that no matter the penalty someone will attempt it, and someone will eventually succeed. And that likelihood will ensure everyone will want to attempt it.