It doesn't hurt that the software industry boomed under the Internet, which might be the most horribly regulated and managed infrastructure in history, but it is densely controlled by politics, else governments wouldn't have privatized their coax lines and wireless spectrum wouldn't be controlled by a few major players.

Also, software patents can easily be considered intense regulation, especially in the superfluous and artificial nature they make the mathematics behind algorithms scarce because you have to tip toe around getting sued.