Internet search engine giant Google Inc. remained under the spotlight after it threatened to withdraw from the Chinese market in January. Recent Western media reports about Google's "99.9 percent" possibility of leaving China ignited fears that the censorship dispute would escalate into a fight that neither side could win.

Ministry of Commerce (MOFCOM) spokesman Yao Jian said on March 16 the two Google-owned companies registered in China had not sent any withdrawal reports to MOFCOM. Yao said China strongly opposed politicizing the business disagreement.

Ministry of Foreign Affairs spokesman Qin Gang said at a March 16 press conference that Google's decision is an individual act of the company. Qin said if Google retreats it would neither affect the Chinese investment environment nor change the fact that most American companies in China are reaping profits.

Qin insisted all companies operating in China should obey Chinese laws and regulations.

Currently, Google holds up nearly one third of the mainland Internet search market, while homegrown Baidu.com took up the remaining market share. Since Google's withdrawal intention was made public, share prices of Baidu have been on the rise. On March 15, Baidu's NASDAQ-traded shares closed at $576.84, surpassing Google's for the first time.

"Once Google closes its China operation, the Internet search industry will lose its development gauge, thus diminishing Baidu's creativeness," said Lu Bowang, President of China IntelliConsulting Corp.