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Google announced that Chinese officials approved its Internet license renewal, ending a six-month standoff over censorship that peaked with the company rerouting its users to its uncensored Hong Kong site.
While the renewal will keep Google’s phone and advertising service running, it’s still unclear whether the search engine will be censored.
We’re analyzing coverage from Slate Magazine, Business Insider, CNN, CNBC, and ZDNet.
A business blogger for Slate Magazine says the renewal is a major victory for the company.
“Unless there's a second act to this drama somehow, or unless mainland users stay away from the Hong Kong site and dry up search ad revenue, Google just won its battle with China in every meaningful way.”
But an editorial from Business Insider points out that, with the current terms, Google’s search engine in China will consist only of product and music searches. The writer says the company has done everything wrong.
“Google has had to completely cave, providing China with a crippled search engine that censors just about everything.”
CNN covered the implications of continued censorship in China, and what it could mean for Google.
“A lot of people who are big fans of Google, and what Google is supposed to do—and what the goal of the democracy of ideas—they get very, very concerned about the idea. You type in the word democracy, and boom, you get shut out. That’s not something that’s conducive to American foreign policy and certainly not what Google stands for and other tech companies.”
On the business side, CNBC reports the effects of the decision on shareholders.
“Google continues to be the darling dujour. Not up as much as earlier—about a two and a half percent gain after they got that license renewal in China. It’s bigger than just search—as Julia was talking about—it’s all about the android phone as well as advertising—only 25 percent internet penetration in China right now.”
A blogger for ZDNet says the rise in stock is a good sign, showing potential for long-term growth.
“Is it a perfect situation? No, not at all, but this is an imperfect world. Competition beats monopoly any day and Google keeps its foot in the door in China to ensure that it’s ready to capitalize on future reforms and a changing economy.”
So, what do you think? Is this a victory for Google? Or did the company just settle?
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WRITER: Steven Hsieh
PRODUCER: Newsy Staff
