When it's laid out like that, of course, you see the problem in that debate right away: apples and oranges. I have also been to China, and I also believe that the Chinese are generally good, honest people. But there is the wider world stage to consider, and in that world we've got to be aware of Chinese policy -- both political and economic.

Fundamentally, China's interests are adversarial to those of the United States. The nation's ruling powers have different beliefs in the form and function of government, as well as their own perspective about what is best for their country's economy and long-term security. This creates a lot of security and espionage issues.

Moreover, China is one of the worst offenders when it comes to espionage against the United States and its companies. China has over 3,000 front companies operating in the United States, and regularly attempts to recruit people working in non-Chinese companies to spy for China. Just about all of my Fortune 500 clients have been the victim of Chinese espionage efforts, leading to hundreds of millions of dollars of losses. To give just a couple of examples, General Motors purchased a Chinese car and then removed the body panels and found them to fit perfectly on a similar GM car. And semiconductor companies have found Chinese companies manufacturing the exact same chips that they make.

While I help my clients attempt to protect their assets as best they can, I expect China to do what it can to grow the Chinese economy and secure the country. I do not agree with the methods of the Chinese leadership nor with their domestic policy of throttling certain types of political discussion, but again it's a sovereign country and can do whatever it wants toward its goals, within its own border. (I discuss the full threat posed by China, as well as its methods and motivations, in my book Spies Among Us.)

With that in mind, I believe that recent Senate hearings and the current criticism of Google, Yahoo and the like represent the height of hypocrisy. These American-owned firms, doing business in China, are adhering to Chinese law and responding to Chinese court orders that resulted in the arrest of Chinese dissidents and reporters. While China abuses human rights as most Westerners would describe them, we cannot tell U.S. companies to disobey the laws of the countries in which they choose to do business.