I suspect that China's new "no email server without a license" law will have a few unintended consequences - it'll probably play a role in any offshoring decisions. Why? The simple cost (monetary and bureaucratic) in getting a license, and the need to monitor otherwise inocuous conversations:

China's new rules also prohibit use of email to discuss certain vaguely defined subjects related to 'network security' and ' information security', and also reiterate that emails which contain content contrary to existing laws must not be copied or forwarded. Wide-ranging laws of this nature have been used against political and religous dissenters in the past.

Ignore the politics of free speech for a minute, and just consider the notion of having a few developers in China - and having to consider which technical issues are safe to discuss.