That's some really low propaganda. By that logic you would not want to use any domain from a "first world" country since they are actively in conflict (by exploiting) the rest of the world. Also, most of them are at war somewhere.
I'm simply saying that retribution by Gaddafi on western companies or end users is not out of the question. As a user, I would rather avoid going through any Libyan servers during peacetime, and that obviously becomes increasingly risky as the thuggish regime becomes desperate.
It's not the fact that Libya is at war, it's the fact that it's a completely corrupt and brutal regime in "normal" times, and I especially don't trust them with my packet requests in these desperate times.