The German government will not offer Snowden asylum, the US government would be too angry at them. Also, with several US military bases in Germany (well, at least one, I don't know the exact number), I am not sure I would come to Germany if I was Mr. Snowden, even if the German government begged him to seek asylum there.
You might be right about Germany, granting asylum would certainly impose high political cost that they may not want to bear. However, of all the other countries I'd think that Germany would be one that knows a thing or two about the dangers of the direction we are heading. Also, if they did this it might be just the message the US intelligence agencies need to realize they are out of control and check their course. I can't believe there aren't people within these agencies who are not comfortable with the direction they are going with mass surveillance. Snowden asylum would morally strengthen their opposition.
Finally, I don't think Snowden is safe in Russia so I hope he gets out soon.