Google police

Is this a good thing or a bad thing?
If Google is to regulate what's good and what's bad for us, maybe this would be called censorship.

To address this problem and to protect users from being infected while browsing
the web, we have started an effort to identify all web pages on the Internet that could potentially be malicious. Google already crawls billions of web pages on the Internet. We apply simple heuristics to the crawled pages repository to determine which pages attempt to exploit web browsers. The heuristics reduce the number of URLs we subject to further processing significantly. The pages classified as potentially malicious are used as input to instrumented browser instances running under virtual machines. Our goal is to observe the malware behavior when visiting malicious URLs and discover if malware binaries are being downloaded as a result of visiting a URL. Web sites that have been identified as malicious, using our verification procedure, are labeled as potentially harmful when returned as a search result. Marking pages with a label allows users to avoid exposure to such sites and results in fewer users being infected.

And what about this:

The firewall is dead.

I don't think that this would be true in a hundred years. As long as software (operating systems in particular) have wek spots, there will be a huge market for firewalls.