There's a lot of reasons, but it's probably how Google makes most of their money - brand names end up being high value ad targets - at least 6+ years ago when I worked in that sphere of things (ecommerce, primarily). It's legit extortion.

I guess that's why - because extortion is immoral. Eventually, those paying the protection fees will eventually find someone better to pay or will stop paying when the protection doesn't show up.

Let me repeat myself

  >>>> When making more money requires degrading the product you know we've fucked up

It should be illegal to mislead the users like this. The search terms weren't generic and didn't match anything.