The internet major, Google, is handling the Chinese red hammer in the best way possible. China is putting on unprecedented controls on access to internet by the millions and millions of Internet users in China which could eventually kill potential gains for all the internet based companies.
And Google has already threatened to pull out of China if there are unwarranted controls on internet without any justification. That has already pulled the Chinese into the negotiation table, and we can expect a decent face saving deal between the two in the weeks ahead.
Google may be smart in remaining in the Chinese market with pride and dominance.