The paper concedes that AI hardware regulation isn't a silver bullet and doesn't eliminate the need for regulation in other aspects of the industry.
You can try and control the hardware, or impose other regulations, but at a certain point if a model is trained and released into the wild, nothing will be able to stop its distribution and use.
The paper [PDF], which includes voices from numerous academic institutions and several from OpenAI, makes the case that regulating the hardware these models rely on may be the best way to prevent its misuse.
Fuck every single one of them.
No, restricting computer hardware is not acceptable behavior.