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[IP] Financial Times of London Editorial on Google: 25 Jan 06





Begin forwarded message:

From: GLIGOR1@xxxxxxx
Date: January 28, 2006 1:48:12 PM EST
To: dave@xxxxxxxxxx
Subject: For IP: Financial Times of London Editorial on Google: 25 Jan 06

Lex: Google
Published: January 25 2006 15:20 | Last updated: January 25 2006 20:07
www.ft.com

When you have painted yourself whiter-than-white, any trace of grey creates a stain. That is where Google finds itself. Ideals of doing no evil and “organising the world’s information and make it universally accessible” do not tally with a decision to bow to censorship for its China-based service.

Giving way in China risks tainting Google’s image of being different. Much of Google’s success has come from a superior search algorithm and sheer simplicity, but image has also been important. Users trust the brand to deliver the best results, free of distortions. Some already fear, wrongly according to Google, that its tie-up with AOL could lead to favouritism. As Google expands, it will increasingly have to balance commercial opportunities against risks to its brand.

Clearly, Google’s Chinese move will draw criticism – even as it holds out, in contrast to rivals, against handing over search information to the US government. However, if Google wants to be serious in China it cannot operate from the outside. Fully entering the market means working within local rules. Otherwise, rivals who accept censorship will build strong positions and could one day even make money from the tough, but potentially huge market.

Google’s pragmatic decision, which does compromise its principles, should not be enough to affect users’ behaviour in its core markets. But if Google one day gets the balance wrong between commercial opportunities and nurturing the brand, it could be painful. After all, users can switch search engines at the click of a mouse.



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