It will be a big loss for google if they will pull out from China. But in this case it is also a big loss from China since google is always useful in many ways.
They went against their own policy when they entered China by removing selected information from search results. They were protested against worldwide for not being true to their motto 'Don't be evil'. And they said then "we will carefully monitor conditions in China, including new laws and other restrictions on our services. If we determine that we are unable to achieve the objectives outlined we will not hesitate to reconsider our approach to China, "