It's not just the EU and its institutions pushing that narrative either. For example, before the European elections the BBC ran an article about all the great things the European Parliament has done which gave it credit for this and described the controversy as follows: "Supporters say the rule helps to ensure that artists, musicians and other creators are fairly compensated. But tech companies say it will destroy user-generated content." https://www.bbc.co.uk/news/world-europe-48024400

No mention of the fact that MEPs had very little to do with the contents of the law, which was mostly shaped by shady back-room dealings between the French and German government, or of the concerns non-corporate-affiliated artists and content creators had about it screwing them over, or the bizarre voting fiasco.