No they didn't. They said you're not allowed to incite religious hatred by focussing attention on one particular religious figure from one particular time when the practice was common.
If that commentator is interested in paedophilia she will have made comments about the practice of child marriage among Christians -- something still happening in the US today. She did not mention any other region because she's not interested in attacking paedophilia, she's interested in attacking Muslims.
The greater part of the ruling is that you can't say something that might incite to violence a 3rd party. If I say that Manchester is a terrible team, am I not at risk of loosing my free speech? Many of those footballer fans are violent, as shown by numerous riots. Clearly making them fussy is a risky thing. Am I liable if some adults fair to act rationally when the honor of their team, of which they are not personally members, is attacked? According to the EU court, maybe.
Child marriage is not now, nor has it even been common in Christianity. There are fringe groups that endorse it, and they are rare. They are operating well outside of the bounds of the historic teachings of the church. This is not a no-true-scottsman argument. There are teachings of the churches throughout the ages. If someone behalves in a manner that countermands those teachings, they are an apostate (assuming they still claim fidelity to the great religion). You've created a false-dichotomy in order to remove the true issue here: as the West embraces Muslims with open arms, you're going to run afoul of cultural differences. The West can either say, "No, you many not mutilate a 9 year olds vagina and marry her!" Or it can say, "Sure, why not?" At present, the vanguard of the process such as Sweden, is already ruling on such unions [1]. It is a thorny issue, but the EU will do what it always does: capitulate to invading forces.
https://www.quora.com/Did-Sweden-legalize-child-marriage-and...
But any time an entity is afraid to be challenged, it is selfishly choosing its own survival over the possibility that there exists a better provider for its citizens. That part is the "not best" part, and it's also the part Google is accused of helping with. If Google was secretly working with the PRC to improve Chinese citizens' medical care, there wouldn't be any concern.
If 90% of the population's standard of living improves at the expense of the 10%, is that wrong? Where is the line? Even when a rising tide raises all boats, there are many who will still get swamped. Should we stop forward progression due to that?
(Well, maybe it correlates, but then I'd argue you're just optimising the wrong variable...)
I'm not following how your second paragraph is connected to the question of governments protecting themselves at the expense of their citizens' well-being. It sounds like you're talking about the trolley problem, and tying that to some notion that we can halt 'progress'? What do you mean?
GPs framing of this as "EU Human Rights Court ruled that no one is allowed to speak against Mohamed" is very misleading, the court ruled no such thing. (I still don't like how that case went, on all levels, but it's no-where near extreme as some people claim)
IMHO no need to go from "this treaty isn't as absolute on free speech as I'd like" to "what's the point of any of it then?".
Is it personal liberty within the confines of enough law to provide some semblance of stability? The US is straining with that and it is arguably the most free of the Western Nations. Before the EU apologists jump on, keep in mind the EU Human Rights Court ruled that no one is allowed to speak against Mohamed (https://www.hollywoodreporter.com/thr-esq/european-court-ind...). Gun violence appears to be leaving the ghettos and moving into more civilized neighborhoods.
Is it an authoritarian power that feeds, houses, and medicates its population? China does a lot of this. Hunger is down dramatically. People are still largely free to go about their daily lives.
Is it in-between? I don't know. The EU is starting to fray there. Nationalist movements are seeing that countries have to give up their current individual identities to conform with a Brussels/German worldview. Is this wrong? How are you to say?
My whole point in all this is that you've alluded to some truth claim as an attack on Google. Can you a) clearly define your truth claim, at least to yourself, and b) say why it's more true than the Chinese view that people are sheep and need a shepard? The Left in the US holds this view to varying degrees. That's why we need all this regulation. No one should be free to buy plastic straws.