I think the situation is probably more interesting than deliberate anticompetitive evil. I bet that there was indeed some policy violation, and some minor bureaucrat is reasonably applying the policy, but in a way that misses the big-picture impact of doing so, for example threads of outrage high on Hacker News. The policies back them into being a monopolistic heavy whether they mean to or not, because they're so big that they basically have to rule the world and there's no mechanism for outsiders to have a say.
The real problem is that the policies are not adapting to rapidly changing conditions (i.e. yet another takedown, howls of outrage, calls for regulation), and the big tech companies have become too sclerotic to cope with that. Worse (for them), they're vulnerable to being gamed. Once people figure out that saying "Jehovah" triggers the policy, some will keep saying "Jehovah Jehovah Jehovah" just to fuck with them and grow the popular outrage.