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...Internet giant's extraordinary insistence that it would no longer censor the search results on Google.cn - the second leading search engine in the country with the most Internet users in the world - appears to be leading to the demise of its Chinese-language search business. Beijing was never going to negotiate with Google on the issue of censorship - particularly not after the U.S. government hitched its wagon to Google's cause, in the form of Secretary of State Hillary Clinton's Jan. 21 speech on Internet freedom. In fact, only in the past few days has anyone from the Chinese...

Author: /time Magazine | Title: Who Will Profit When Google Exits from China? | 3/18/2010 | See Source »

That's no doubt true - but it's also true of several other domestic Internet companies that are moving swiftly to capitalize on Google's - choose one - self-inflicted wound/inspirational stand. Numerous sources says both Sohu.com - a Yahoo!-like website founded by MIT graduate Charles Zhang - and a hugely successful instant-messaging company called Tencent Holdings are already aggressively trying to hire Google China staff. (Google China declined to comment.) Neither has much of a presence in search, with less than 1% of the market each. But the two companies were investing significantly in search even before Google's ultimatum...

Author: /time Magazine | Title: Who Will Profit When Google Exits from China? | 3/18/2010 | See Source »

Analysts believe that of the two, Tencent is in the better position to capitalize, given its dominant position in China's booming instant-messaging business. According to estimates by Analysys International, nearly 70% of China's 400 million Internet users use instant-messaging, and of those, 80% use Tencent's system, known as QQ. That's the major reason that Tencent's market capitalization is bigger than Baidu's, and an insider at the company acknowledges that search "is very much" a target of opportunity...

Author: /time Magazine | Title: Who Will Profit When Google Exits from China? | 3/18/2010 | See Source »

...creating cyber-bodyguards," says Sanjay Bavisi, president of the council. "We're not creating combat people." But as the world becomes increasingly interconnected via the Internet, the stakes have become too high to rely on static defenses alone to protect the immense flows of vital information that operate the world's financial, medical, governmental and infrastructure systems. "The bad guys already have the hacking technologies," Bavisi says. "We can say, 'Tough luck. The bad guys play by different rules, and you can't do anything about it, so just go lock your doors.' Or we can tell the good guys...

Author: /time Magazine | Title: To Battle Computer Hackers, the Pentagon Trains Its Own | 3/18/2010 | See Source »

...contrast, studios and music labels have experienced limited success and even less profitability in the few instances when they have grudgingly embraced the Internet bogeyman. The prospect of tying their future success to online distribution scares them because it means they will need to develop new distribution and pricing models. (For example, Netflix can stream an unlimited number of Hollywood films for a monthly subscription fee, but this does not include new releases.) They will also need to figure out how to stop people from setting up clone video and music stores with pirated content...

Author: /time Magazine | Title: Cisco's New Router: Trouble for Hollywood | 3/16/2010 | See Source »

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