I agree what you said. But the total time spent on Internet of all human being will be bounded, not infinite. You can only have 7 x 18 billion person-hours a day to use different services. What you have to compete is the time that users uses your service.
Of course I maybe wrong in above statement. The statement doesn't include all automated computing processes. Then the limit may be much larger to be considered as unlimited.
so... Governments will restrict the web to steal market share from various web apps? I think you may have misinterpreted what they're talking about. :P