Increased regulation in the technology sector would be good for Facebook but bad for its competitors, said Kevin Knight, former Team Lead of Facebook Creative Shop in New York.

"The harder the government makes it for companies to access shared data or data that changes places, that changes between different platforms," Knight told CNBC, "the stronger it makes companies that have access to tons of data within their own right. That means Facebook, Amazon, Google."

"Any regulation that emerges from this is most likely to entrench Facebook and hurt competition," Knight said Wednesday on "Power Lunch."

Facebook CEO Mark Zuckerberg testified on Capitol Hill for a second day on Wednesday. The hearings are a first step in determining the need for increased regulation in the tech sector following the Cambridge Analytica scandal, which revealed that data from approximately 87 million Facebook users was improperly used. Facebook is not currently regulated by the government, but Zuckerberg said during Wednesday's testimony that he is open to regulation.

The two-day hearing "revealed a knowledge gap," said Rep. Ro Khanna, D-Calif. Several members of Congress "don't fully have a grasp on how social media works," he said Wednesday on "Closing Bell."

Khanna pointed out that Europe has the General Data Protection Regulation, a regulatory framework to protect individuals.

"We need a similar internet bill of rights here in the United States," he said.