The real problem is that its a blanket statement saying that ALL trans people are to be excluded from serving in the military in ANY capacity.  What about the trans person who has been post-op for several years and no longer requires any follow-up procedures or anything like that.  Sure - maybe they still need hormones, but I would hardly call that a disqualifier as there are plenty of people in the military who take medications on a daily basis.

We arnt even just talking about combat troops.  What about a skilled translator?  Or someone who is very good at doing cyber intelligence.  We are saying to these people, regardless of what skills you have that might help the country - we dont want your services.  

And lets be REAL clear here.  The number of transgender people currently serving in the military, or wanting to join the military, is fairly minimal.  I would be shocked if it even represented .5% of the total military population.  So, lets not pretend that this is some epidemic.