Google and China: Implications for Cloud Computing?

Google and the Chinese government are at odds over censorship and Internet access. Meanwhile, published reports indicate that surveillance of and perhaps even attacks on corporate networks by governments may be more widespread than previously known or acknowledged. How should companies protect themselves from such espionage when doing business in countries with laws and regulations different from those of their home countries? And what are the implications for providers of cloud-based services doing business internationally? What will you do if you can only get to some of the services you need in only some of the countries important to your business?