The laws of country X are controversial.

All countries have laws that are controversial for some other country.

Yep.

Imagine iran requesting all the IP addresses of people who have viewed gay porn from pornhub (=Aylo or whatever it's called now)

I imagine that this would be reason enough for them to either comply with the law or not operate there, like every other business does? You seem to imply that it's ok for internet companies to be above the law, I don't see how that's compatible with self-determinism/democracy (loss of jurisdiction) nor in the interests of the people (because inevitably such companies will optimize their profits at the expense of the public and can't be held accountable, in your anarchic world order).

They definitely wouldn't stop operating in Iran and miss that sweet ad money

then it's fair game for Iran (or any other country) to fine them/block them for that.

No, they'd comply with Iranian censorship laws to get the ad money.

Let's say your set up a raspberrypi at home (I assume you live in US), install apache, install wordpress, set up port forwarding and write a blog about making pickles. Then someone writes a comment under "How much dill?" and writes "I'm from Iran and I'm gay".

Are you really operating in iran? You don't have servers there, you don't have employees there, you're not a registered company there, what ties do you have with iran? Someone from iran "came to visit"? Sure, so do brits with amsterdam and legal weed.

But they're operating in UAE (or whereever they're registred).

They just get visitors from UK.

Where they operate doesn't matter, and it should be pretty obvious why (hint, for the same reasons that American bleached chicken can't be sold in the EU)