While I think some of what the city says makes sense, how can a city in the US force a company in Rome to cease and desist? Even Apple might be loath to follow this order since you can't follow every city and country on earth's laws and stay in business.
Because the company is operating in the US city, of course. Would it be OK to sit in San Francisco and remotely run a service that was illegal in Rome? Of course not, Italian prosecutors would issue demands and then seek a court ruling that they would then ask US courts to enforce. This is the sort of thing that international treaties are for. EDI for clarity, of course there are no treaties about parking spaces. But…
US-based Internet companies have flourished due to the relatively hands-off regulations concerning websites. To suddenly apply every foreign law that's ever been written would be a significant chilling effect on business.