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Author Topic: Good news for BIDU?  (Read 517 times)
jakeh25ad
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« on: January 12, 2010, 08:35:25 PM »

Google to end China censorship after e-mail breach
Google to end censorship in China, may leave over compromise of dissidents' e-mail accounts

By Michael Liedtke, AP Technology Writer , On Tuesday January 12, 2010, 7:26 pm EST
SAN FRANCISCO (AP) -- Google Inc. will stop censoring its search results in China and may pull out of the country completely after discovering that computers hackers had tricked human rights activists into opening their e-mail accounts to outsiders.

The change-of-heart announced Tuesday heralds a major shift for Google, which has repeatedly said it will obey Chinese laws that require some politically and socially sensitive issues to be blocked from search results that are available in other countries.

Google disclosed in a blog post that it had detected a "highly sophisticated and targeted attack on our corporate infrastructure originating from China." Further investigation revealed that "a primary goal of the attackers was accessing the Gmail accounts of Chinese human rights activists," Google said in the post written by Chief Legal Officer David Drummond.

Google did not specifically accuse the Chinese government. But the company long associated with a motto of "don't be evil" added that it is "no longer willing to continue censoring our results" on its Chinese search engine, as the government requires. Google said the decision could force it to shut down its Chinese site and its offices in the country.

It's unclear how much of a blow to its business Google would suffer by pulling out. China has the world's largest population of Internet users, but Google has struggled to expand in the country, where it has less than 30 percent of the search market, versus more than 60 percent for local rival Baidu Inc.

The larger effect could be in how global Internet companies operate in China.

"Google has taken a bold and difficult step for Internet freedom in support of fundamental human rights," said Leslie Harris, president of the Center for Democracy & Technology, a civil-liberties group in Washington. "No company should be forced to operate under government threat to its core values or to the rights and safety of its users."

Danny O'Brien, international outreach coordinator at the Electronic Frontier Foundation in San Francisco, said Google's rejection of government demands to censor "changes the game because the question won't be 'How can we work in China?' but 'How can we create services that Chinese people can use, from outside of China?'"

But Clothilde Le Coz, Washington director for Reporters Without Borders, warned that Google's move doesn't necessarily mean more information will be available to the average Chinese person.

"The Chinese government is one of the most efficient in terms of censoring the Web," she said. The media watchdog group has long criticized Google and other Internet companies for caving to China's censorship regime.

A spokesman for the Chinese consulate in San Francisco had no immediate comment.

Google, whose headquarters is in Mountain View, Calif., first agreed to censor search results in China in 2006 when it created a version of its search engine bearing China's Web suffix, ".cn." Previously, Chinese-language results had been available through the company's main Google.com site.

To obtain its Chinese license, Google agreed to omit Web content that the country's government found objectionable. At the time Google executives said they struggled with how to reconcile the censorship concessions with the company's "don't be evil" motto.

By then Yahoo Inc. had come under fire for giving Chinese officials information about the online activities of two journalists, who were then arrested, convicted and sentenced to 10-year prison terms for allegedly leaking state secrets and political writings. Meanwhile, Microsoft Corp. was criticized for shutting down, at Beijing's request, a popular Chinese blog that touches on sensitive topics such as press freedoms.

AP Technology Writers Barbara Ortutay in New York and Jessica Mintz in Seattle contributed to this story.

Google post: http://bit.ly/6vGb9S
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optionpundit
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« Reply #1 on: January 13, 2010, 08:44:05 AM »

Unless you think BIDU is going to have all the fun to be at top of the all time high, I am looking for a very speculative trade (may last only few minutes) in the bearish direction on BIDU (with Jan options itself) once market opens..or probably once it touches 450 or so...nothing final as of now Smiley
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optionpundit
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« Reply #2 on: January 13, 2010, 09:41:24 AM »

Unless you think BIDU is going to have all the fun to be at top of the all time high, I am looking for a very speculative trade (may last only few minutes) in the bearish direction on BIDU (with Jan options itself) once market opens..or probably once it touches 450 or so...nothing final as of now Smiley

There was no time for me send any alerts, sold a 440/430 bear call spread for $5.80, bot it back at 3.55 in less than 2 min (80 sec rather) to book >+60% gains. It touched $450+ in the pre-market activity..attached is the screenshot.
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Sam R
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« Reply #3 on: January 13, 2010, 10:01:49 AM »

Congrats OP!

Could you please share with us why you sold the 440/430 bear call spread as opposed to any other combination.

What criteria did you use for selecting that particular spread?

Thanks,

Sam
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optionpundit
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« Reply #4 on: January 13, 2010, 10:25:27 AM »

Congrats OP!

Could you please share with us why you sold the 440/430 bear call spread as opposed to any other combination.

What criteria did you use for selecting that particular spread?

Thanks,

Sam

Sam, it was rough support leverl call assuming that BIDU will find support around 428-430, so benefit from the decline that might happen post "moon kiss"..
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optionpundit
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« Reply #5 on: January 13, 2010, 11:04:33 AM »

If BIDU drops below 425 today..look for another short move of $3-$4 to upto $420-421; might be another intraday opportunity..but again remember, it is speculative and you should spend only that you can afford to lose....no emotions attached and profit/loss need to be booked quickly..loss/profit limit is dependent upon your stomach Wink 15-20% is a good target to keep in mind
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