"Chinese military hackers have prepared a detailed plan to disable America’s aircraft battle carrier fleet with a devastating cyber attack, according to a Pentagon report obtained by The Times." - Link.
I like to keep checking back on 'China's effect on the internet' and 'internet's effect on China'. Both of these terms in Google have nothing but posts from me and David Weinberger.
I know plenty of people thinking and talking about China's effect on the internet, but most of them are Chinese. ;-)
Former CNN journalist Rebecca MacKinnon writes at great length about these issues on rconversation.blogs.com, and links to dozens of US and Chinese blogs interested in this topic.