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The Australian government isn't scared to piss off Big Tech when it suits them.
The ASSISTANCE AND ACCESS ACT 2018 lead to some people I know being given the option of quitting or relocating to somewhere that the Australian government couldn't do THAT.
It's certainly an extra factor when deciding to offshore development teams here.
As a "great" man once said:
I think the concerning problem is...big tech isn't actually too concerned about that Act. For starters, there was a little misinformation going on about it at the time it was being discussed. This page is useful. A lot of it is wishy-washy apologia that should be ignored, but the section entitled "This law can compel employees to work in secret without the knowledge of their organisation" is specific and valuable. It notes that unlike the information that was going around at the time, the law can not compel specific individual employees to insert backdoors into their employer's software.
We've also seen pretty clearly that big tech has no problem supporting authoritarian governments, as long as it doesn't directly undermine their bottom line. With a fairly minimal amount of dev time required to comply with this sort of law, it's not something that's going to concern them.
But VPNs are necessary for them to get their work done. Businesses of all sizes use them daily.