Google Considers Return to China With App Store

A return to China for Google could mean renewed censorship measures in what apps it hosts.
Google Considers Return to China With App Store
Chris Yerga, VP of Google Play Engineering, speaks at a Google event in 2013 in San Francisco. Google is planning to launch a version of its Google Play app store in China, which likely will require the company to censor certain apps. AP Photo/Jeff Chiu
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After a five-year hiatus, Google Inc. is contemplating a return to China.

The company plans to launch a version of Play Store for China, in an effort to take advantage of a smartphone market with 79 percent market share for Android. The debut is expected to coincide with release of Android 6.0 Marshmallow in the fall. The Information, a technology news website, first reported Google’s deliberations on Sept. 4.

It’s an about-face for Google, which decided to exit the Chinese market in 2010 after years of concerns over censorship and security. The final straw came after the Chinese Communist Party (CCP) orchestrated cyberattacks aimed at dozens of U.S. companies including defense contractors, financial organizations, and technology firms such as Google. At the time, Google’s bold decision was viewed with admiration by shareholders and other companies.

Does Google’s return to China invalidate the goodwill it received five years ago?

Yes, but it’s complicated.

To understand Google’s rationale today requires more context. While Google developed Android, the Android Open Source Project dictates that OEMs may freely use its operating system on their hardware without a licensing fee.

A woman navigates through the Google Play store in Chinese on her Smartphone in New York on Sept. 6. (Benjamin Chasteen/Epoch Times)
A woman navigates through the Google Play store in Chinese on her Smartphone in New York on Sept. 6. Benjamin Chasteen/Epoch Times
Fan Yu
Fan Yu
Author
Fan Yu is an expert in finance and economics and has contributed analyses on China's economy since 2015.
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