Google Vs China

Google and China incorporated  are on a collision course. It s no secret that despite the fact that China is the manufacturing epicenter of the world, their  human rights record  has always been troublesome–to say the least. Google set shop in China four years ago; Just like any publicly traded company with the best interest of its share-holders at heart, they decided that China was too big of a market to ignore( with 1.3 billion people, roughly 20% of the world’s population). Google has gone from zero to 30% of the search market share, but Baidu, its chief competitor in China still maintains a convincing 60%.

It is also a fact that China is very big on censorship and for the last four years, GoogleCn has all but capitulated to the chinese demands. apparently, the last straw that broke the camel’s back was  an alledged  government backed attempt to hack the Gmail account of Chinese dissidents.  How exciting! Google has issued a statement saying it’s un-censoring its search results in China! And in retaliation, it is threatening to pull out of china. Google has every incentive to keep kissing China’s ass…

By the numbers...

Cynics have argued that Google’s  bid to become the dominant search engine in China has not materialized, and this is an attempt to pull out of a bad situation while saving face-I disagree. Better late than never.. Any time someone takes a baby step in protest of China’s censorship and dismal human rights record, they should be applauded. Google global market capitalization last year was 22 billion dollars, only 300 million came from the chinese market. So while the Chinese market is very important and shouldn’t be ignore, sending a strong message from a Google perspective is more important. The “United States of America Incorporated” hasn’t taken any measures against China lately…Oh, I get it..China holds about 2.2 trillion dollars worth of US denominated instrument; Japan and China combined for about 44% of the US public debt….This makes it really interesting for the US to take a stand…???? Way to go Google….


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