Is the government offering to provide Internet services to you? You're comparing apples and oranges.

A government still can, and will, seize domains, block sites, and issue takedowns and warrants on content to Google. Suppose I own xyzzy.com, set up to use Google Apps to handle mail and serve some web pages. Just like if I was hosting at home or in a colo somewhere, the government can still come in and demand the data. In fact, the biggest difference is that companies like Google are more likely to just roll over--see the stories about cell carriers just handing over tons of information just because law enforcement said please.