Usually it's corruption, but in this case I think it's even more sinister than that... it's the result of a total and basically irreversible digital dependency which the EU maneuvered itself into, despite warnings of numerous technical experts not to give away full control of your important digital infrastructure to some other country. But they didn't listen because they were constantly scammed by marketing, lobbyists and short-lived tech trends to think that it's surely the best option and there's surely never going to be a problem if you let US-based companies control everything you need in daily personal or business life.
I don't think it's a coincidence that this comes after the US removed/disabled all US company based accounts (E-mail, Paypal, Creditcard, international banking, ...) of one EU judge whose ruling heavily disfavored US big tech companies. (See: https://www.heise.de/en/news/How-a-French-judge-was-digitally-cut-off-by-the-USA-11087561.html) I think this was the main trigger for the EU why this "digital omnibus" now exists - to appease the US-based companies and, by extension, the current US regime. Because otherwise quite a lot of EU businesses and individuals could and would be teleported back to the digital '90s, simply because they chose to give away all of their digital sovereignty - because it seemed cool to do so, and because most others did so too.
The US has demonstrated the world who's the boss in the digital realm, and everyone who doesn't fall in line will be threatened with the deactivation or removal of all "important" US-based accounts. This maybe couldn't have happened before due to friendlier administrations and the rule of law and contracts, but now with the current regime which doesn't have to care anymore about past alliances or laws or regulations or contracts, there's really not much that would stop them from doing whatever they (or the US companies) want. And while everyone is watching the US slide into a fascist authoritarianism, what people forget about is how dependent their own lives and also businesses still are on US-based companies. This will be, or is already, a weapon against whole countries to bully them into compliance with US wishes. And I think the EU is still absolutely the equivalent of a digital colony of the US - and that is fully self-inflicted. Far too many popular mistakes have been made in the past, and now those mistakes are actually having their biggest cumulative effect. Just like with the climate desaster. Which is waiting just in line after we get over this. Buckle up.
Yes. The current modern neo-nazis behave similarly: they claim only the others (the ones they don't like) are Nazis and their own kind just want the "freedom" to say and do what they like, e.g. get rid of people of color, or political opponents after that. They also frequently claim they're the victims themselves (e.g. claims of "white genocide" => whites "need to fight back")). But they would never call themselves Nazis even though they are doing Nazi things regularly. Fascists twist and redefine words and meanings to serve their own agenda.