Google May Pull Out of China

An interesting article today about Google uncovering evidence that China is using their great cyberforce of workers to attack and hack GMAIL , Google claims they are trying to read the mail of China’s human rights activists. This clearly breaks the terms of service between China and Google.

The striking thing to me, as a technology person, are the comments after the CNN blog article . Some of those commenting say “Money is Money”, which in this case is a little pathetic. Others, like Jim Cramer, stock market entertainer, claim that Google is failing their profits.  SO I wanted to write a quick mention about China, to speak to these people who just look at China as a vast market for US companies.

First, while China has over 1 billion people, a huge amount of them make $1 a day. SO let’s lo0ok at the numbers for a sense of scale:

China population: ~1,326,000,000

China population that makes more than $4 a day: ~300,000,000

China has no Rule of Law. Their system is very concerned with social stability and order. When populations reach this level, the most important issue is to make sure that no one group is trying to cause social instability.  China is caught between older generations and cultural ideas, and modern capitalistic concepts represented in America. In order to work well with China, they will need to ‘grow up’.  Their actions with Google technology breaks that terms of service. They do not care about fo9llowing agreements.  Sure, there ARE a billion people over there and a fraction of  this population can mean a lot of money and revenue for any US or Western company.  But most of that audience cannot afford what’s advertised on the Google servers, and Google would prefer to be in markets they realize real profits. There is a price performance ratio of the cost to enter a market and the return in profit you get from that market.    From a profit motive on Google’s part, there is possibly a larger audience that truly BUYS through Google advertising penetration in Western countries (in what I am calling their REAL markets), vs China (an unripe market).

Bottom line: China has  broken the Google Terms of Service AND tried to attack their system. Why should Google stay in this market and dedicate endless engineering man hours in defense of their technologies, when you can put those same Google engineers into “forward opportunities” with partners that are not trying to wreck your system?

Go Google!!!


2 thoughts on “Google May Pull Out of China

  1. Τhe level of hypocrisy and ignorance that is displaying is outstanding!
    Here are some things that i hope will help to clarify some issues:
    1)CHINA is NOT communist.
    China is a unmerciful dictatorship that serves the most unregulated form of capitalism.
    In china the money is god and god is money as in USA.
    So the inner differences of the two regimes are not so big as some tend to think.
    2)The prison population of USA is 3 times bigger that the prison population of China.The death penalty applies to both countries.
    USA spends for the unelected brutal military 5 times more money than the CHINA of 1.4 billion citizens.The USA public opinion is manipulated the same ways as the CHINA public opinion is manipulated in CHINA.Nationalism and patriotism are the tools that are commonly used in BOTH the countries.
    The way american people supported the iraq or the afgan war is a resemblance of the way china people supports the Tibet oppression.
    The educational systems of both USA and China are both filled with uncritical patriotism and rampage nationalism.
    3)What we have to avoid in this century is a world war between China and USA.Such a war will be devastating much much more than the second world war that took place during 1939-1945.
    Calls for boycott of chinese goods are indeed helping for such a devastating war to take place.Target wal-mart and not china you hypocrites!
    4)The fight for freedom of speech is happening everywhere and no country is immune from censorship.
    Just think that in this country (USA) the government burnt the books of Wilhelm Reich 50 years ago and virtually no one reacted!
    Sure, china is a brutal fascist dictatorship. No one can deny this.
    It is up to its people to fight FOR the freedom of speech and for its dignity.
    It is up to American people to fight AGAINST its ignorance, its tolerance of the police state that was fully constructed under Bush and its blind adore for money.

  2. I actually agree with you, John Bull, that Money is God. I still want to stay on point about Google -they were gutsy to stand up to the Chinese government.

    To touch upon the points you mention:
    I am not worried about China starting a war against America. They have infrastructure problems like air quality control, purifying water, sewage handling, and social instability concerns.

    They have issues threatening their population like Black Carbon pollution wrecking their water supply

    China is never going to win a war against the US military. Or a war against Russia. They are both super powers with huge military arsenals who have been practicing war games since 1941. This continues today.

    I find this topic of Black Jails 黑监狱 interesting:

    “(New York) – Since 2003, large numbers of Chinese citizens have been held incommunicado for days or months in secret, unlawful detention facilities known as “black jails” by state agents who violate detainees’ rights with impunity, Human Rights Watch said in a new report released today.

    The 53-page report, “An Alleyway in Hell,” documents how government officials, security forces, and their agents routinely abduct people off the streets of Beijing and other Chinese cities, strip them of their possessions, and imprison them. These black jails are often located in state-owned hotels, nursing homes, and psychiatric hospitals. ”

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