I think most people working in tech know the extent to which Google can screw over a business when they make a mistake, but the gravity of the situation becomes much clearer when it actually happens to you.
This time it's a phishing website, but what if the same happens five years down the line because of an unflattering page about a megalomaniac US politician?
I'm also trusting my users to not expose their cookies for the whole *.statichost.eu domain. And all "production" sites use a custom domain anyway, which avoids all of this anyway.
So good, in fact, that it should have been known to an infrastructure provider in the first place. There's a lot of vitriol here that is ultimately misplaced away from the author's own ignorance.
The new separate domain is pending inclusion in the PSL, yes.
Edit: the "effort" I'm talking about above refers to more real time moderation of content.
Helping people avoid potentially devastating mistakes is of course a good thing.