I am not a lawyer and I really have no idea how these things work...but wouldn't Google's stockholders sue the executives if they made a decision like that? It would surely harm their profit and the stock price, so wouldn't it be a breach of fiduciary duty?

Tongue in cheek as it was, this suggestion would most likely improve google profits long term.

The court is talking about putting senior Google execs in jail. Considering they'd be limiting their legal liability by cutting off service to the country, I think they'd have a pretty good rebuttal to any lawsuits.

Alternatively, people living in Italy can post up scandalous videos to all the video sites and shutdown all the video internet companies in Italy.

And banks in the U.S. can shut down any email addresses by sending financial information to them, don't forget.