They gave up information to the Swiss government after they got a warrant, and due to the way Proton works, they were only able to give them the IP address so they could arrest the person, who was also Swiss. They didn’t compromise security, because they can’t.

They don’t respond to demands from other governments, and the Swiss government haven’t cooperated with other governments either, so far as anyone knows. In the end, there isn’t really anything the Australian government can do to them if they refuse to create a backdoor for them.