Look, we have no idea of what K and Paulo may have discussed but I could see the conversation including K asking Paulo which was more important to him this year, winning a NCAA title or trying to win a medal with Italy. If Paulo answered an NCAA title then K may have been very honest and told him that working out this summer with his teammates and coaches was the best way to accomplish that. The Olympics will be there in the future for Paulo, in all likelyhood.
Also worth noting that Italy has not yet even qualified for the Olympics. They are in one of the qualifying tournaments and will have to battle a very good Serbia as well as pretty good teams from Puerto Rico and Domin. Rep to get to the Tokyo games. Italy is ranked 10th in the FIBA world rankings and would be a longshot for even a medal. Italy has not even qualified for the Olympics in men's basketball since 2004. There is not a single NBA player on the Italian national team roster.