This could get expensive for cloud providers if a lot of countries go this way
Maybe Apple/Google/Microsoft/Amazon don't care if a really small country that's unimportant to their business makes this demand and they either don't do business there or don't support any cloud features, but operating datacenters in the dozens of countries they do care about will certainly raise their costs...
Those big fish can afford it of course, but it will make it a lot harder for startups to compete.