So what stops me, as a Google customer (which I am), to stop doing business with them, given that I see proof after proof that they are working against my interests?
This is the same problem as with the Snowden leaks. I don't care if Americans feel more safe with the NSA secretly watching their emails via gag orders, if my privacy as a non-US citizen is being violated, therefore at this point absolutely all US companies are suspects, starting with a negative ranking in my book; at this point I always prefer European ones. Also the usual arguments that countries collaborate with each other is bullshit, because in the EU I can sue companies, or my government, for cheap too, whereas in the US I have no rights.
And if you find that acceptable, then maybe balkanizing the Internet isn't such a bad thing after all, lets start with ICANN.
> There's also a real chance (though perhaps small) that an industry-wide refusal to cooperate with the US military could have disastrous consequences for the world
There's also a real chance that I might get hit by a brick and die tomorrow, yet that doesn't stop me from going out.
If you don't have an assessment done by experts of what might actually happen, then such arguments are bullshit.