Google can apply arbitrary rules, but they can't claim that their decisions represent "society". There was no consultative process where society elected Google or society was asked for their opinion on censoring this particular video. In fact, "society" has immediately republished the video elsewhere.
In fact, the Streisand effect will guarantee more attention to the video (e.g. this thread). Google destroyed a huge number of comments debating the merits of the video. Previously, such destruction would have been done by book burning.
Now the debate is scattered and it is harder to address any confused people, instead of going to the number one web property for video. Way to miss the point of both speech and censorship, Google.