The political battle against Pichai made a success. So now the public support can be tuned down and Google can move on to do the only thing they could do in their current situation: building tools for the chinese gov to enter the market. They'll probably do the same thing behind closed doors and without the public Google label on the final result. Maybe baidu will suddenly provide better search results or something.
That's how this world works, and it's not like they really have a choice in that matter.