The problem is that Google represented itself as an altruistic supporter of open-source. People trusted it because it deliberately cultivated the impression of being more responsible than the default 'duh capitalism' mentality it now represents.
Google is suffering the reputational damage it deserves - not because it is now behaving any differently from other corporations but because it has betrayed the promise that it would.
Google code is mostly irrelevant to this calculus, because it was not ever meant to make money for anyone, but i think you are a little harsh here.
Don't get me wrong, as a user, I would love to have the stuff i want to use supported forever. But it's unrealistic.