Clearly Google is searching for a way to do business in China that avoids them sending someone to jail over an e-mail.
Sentiment: NEGATIVE
There is clearly a constituency that appreciates the message that Google is sending, that it finds the Chinese government's attitude to the Internet and censorship unacceptable.
Google's real threat to China is not that it will leave the country. It's that it will embarrass China and damage its national reputation as a place to do business.
Yahoo! had a choice. It chose to provide an e-mail service hosted on servers based inside China, making itself subject to Chinese legal jurisdiction. It didn't have to do that. It could have provided a service hosted offshore only.
When Google went into China, there were some people who said they shouldn't compromise at all - that it is very bad for human rights to do so. But there were other people, particularly Chinese people, who said they were glad Google had gone in.
Like it or not, Google and the Chinese government are stuck in a tense, long-term relationship, and can look forward to more high-stakes shadow-boxing in the netherworld of the world's most elaborate system of censorship.
The user in China wants the same thing that any Internet user wants - privacy in conversations, maximum access to information, and the ability to speak their minds online.
So rather than face the bitter truth, China has placed severe restrictions on the Internet and enlisted America's high-tech companies as their Internet police.
One thing is very clear from the chatter I see on Chinese blogs, and also from just what people in China tell me, is that Google is much more popular among China's Internet users than the United States.
Let me start with Yahoo. As we meet today, a Chinese citizen who had the courage to speak his mind on the Internet is in prison because Yahoo chose to share his name and address with the Chinese Government.
Google attempted to run a search engine in China, and they ended up giving up.