No it doesn’t. It just means if you offer a service in a country, you have to follow its laws.
The problem is that we have huge multinational companies centralizing the internet.
The problem is that we have huge multinational companies centralizing the internet.
Secondly, why should local laws be enforcable globally? Should Australia really be able to globally forbid speech which is prohibited in Australia? Facebook's initial response was to follow Australian rules in Australia, and geoblock the contested posts. According to this ruling, this is insufficient, and Facebook is required to block these posts, and "equivalent" content, globally.
edit: I did indeed misread "Austria" as "Australia" throughout the entire article