Companies have historically gone forward with risky products because of competitive pressure. Isn't that exactly why we need regulation?

First, they ought to have self-restraint. If they are publicly admitting their product is unsafe, they obviously know it. Regulation is not required for that particular decision. Now, having said that, I am not advocating for zero regulation. I do think regulation can be beneficial. Sarbanes-Oxley set good standards for the financial industry. If regulation addresses the problems we actually understand, I am in favor of it. But self-restraint does not require waiting for a law to pass. I do the right things all the time with or without regulation.