Google advertisers in China might need to find a new place to spend their ad dollars, as the search giant's negotiations with the foreign power have reportedly come to an impasse. According to The Wall Street Journal, Google will likely shutter its Chinese-language search engine, a plan that could be put into action within the next few weeks.
In January, after Google was hit by cyber attacks originating in China, the company said it planned to stop censoring search results on its Chinese site. Pending discussions with the government, the company also hinted that it might cease its local operations altogether, a most-drastic-case scenario that now seems likely.
In light of the potential shutdown, advertisers are being urged to shift their spends over to rivals, including Baidu Inc. and Sohu.com, BusinessWeek reports. Meanwhile, Google's partner sites in China -- such as those with built-in Google search engines -- are being forced to consider their alternatives.
Google's 2010 revenue from China is expected to be between $300 million and $350 million, according to a January Citigroup analyst report.
