According to industry sources, Google is reportedly in discussions with Chinese government authorities to withdraw from China within the next two months, with the exception for services related to its Android mobile OS. Approximately 100 Android engineers will remain, and additional engineers may be transferred as the project requires.
In a video conference attended yesterday by the entire Google China workforce, co-founder Sergei Brin said that no formal decision had been made regarding Google's departure, which will depend upon the results of discussions with the Chinese government.
Editor's Note: According to one industry source close to Google China employees, all employees' current work has been halted. One Google representative claimed that if Google is only closing its China offices and shutting down Google.cn, Google's China business will not be substantially impacted.