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Honestly I think it would be more useful for competition if it was the other way around - i.e. forcing Microsoft and Sony to allow competing gaming streaming services in their consoles.
… and to offer their games on the competing streaming services. Looking especially at Sony who pulled their games from GeForce Now. (They did at least leave the games in GFN for accounts who already played them there. I give them that.)
Well Microsoft would love for Sony to allow Gamepass
And Sony would love for Microsoft to allow PS Now. But since they don’t want to play nice with each other (and other competitors), maybe the regulators should step in and create the conditions for a competitive market.