Here is a lengthy NY Times article digging into the Google compromise in China:

Google’s China Problem (and China’s Google Problem)

It is a complex story. I think Google is doing the right thing.

Yahoo was first into China. But Google was far more successful when they first entered the market.

Suddenly, Sept. 3, 2002, Google results disappeared in China. Shut down completely by the government. Many concluded that the action was instigated by Baidu, a Chinese competitor to Google.

A quarter of Baidu’s traffic comes from searching for unlicensed MP3’s — illegal in the USA.

After much consideration, Google opened Google.cn in January 2006. Try it yourself. Search for “Human Rights” and see what you get. The results are self-censored in compliance with Chinese law.

Google.com is still open in China. The same search results as we get here. But when you try to click on a “banned” link, you get an error page. All of wikipedia.com is unavailable, for example.

One Chinese dissident in the article ranks Google best. Then Microsoft. But calls Yahoo! a sell-out.

So, should Google have simply dropped out of the Chinese market? (That’s what Apple is going to do in France, unwilling to modify their service to comply with French law.)

What do you think? (Do you own stock in Google?)