What that company is trying to do is breach hundreds if not thousands of contracts just because said customers belong to a certain country. Such actions have legal ramifications that either the CEO or the entire Namecheap board did not take into account.
Hence this entire act resembles an emotional response of a distraught individual that lashes out. Have a look at [1] for an interesting take on the matter.
I think they have a few larger issues than contracts they are working to overcome. Pretty sure they are mostly concerned with getting their employees out safely. Further, those contract disputes are going to come mostly from Russia, and with the current state of Russia's isolation, I am curious if there is even a channel for an impacted Russian customer to raise a grievance. How would Namecheap even pay them out for damages?
They have a pretty clear carveout in their TOS where they get to decide a breach of Acceptable Use, and one of the AUP that says "Engages in or instigates actions that cause harm to Namecheap or other customers." which one could make an argument that providing means to an invading military force as an action that harms Namecheap. So please show something material that outlines they cannot discontinue service without massive legal implications. Not to say that TOS' are indisputable in court, but it's hard to imagine that a court in the West would consider this a material breach considering the situation. This seems much more like a concern troll than a legitimate issue.
And to frame it as virtue signaling after outlining when they are impacted directly seems really odd. Normally people are compelled to do something, even something dumb, when they face a large crisis. I don't think we usually consider that virtue signaling, and it seems like an unnecessary thing to bring into the conversation.
You comparison to 'cancel culture' was still ridiculous. Even calling it virtue signaling is wrong - it's not signalling when this company is giving up money for their beliefs.
This isn't making a moral judgment on a group of people - this is a company not wanting to do business in a country. They aren't generalizing people at all - they do not want to do business with the Russia government, and have every right to do that
Hence this entire act resembles an emotional response of a distraught individual that lashes out. Have a look at [1] for an interesting take on the matter.
[1]: https://news.ycombinator.com/item?id=30507443