I have an article on this subject in the new issue of the Atlantic (subscribe!). I had done the reporting and writing for the story long before the Google-v-China controversy broke. We had a day or so to take note of that development before the issue went to press. Welcome to life in the monthly magazine business! I think that the analysis in the story actually stands up well in light of the Google episode -- including the insiders' estimate that China is a serious source of international cyber-attacks, but not the leading source and perhaps not even the second most important. More in the article itself (illustration from this issue, below).
James Fallows is a staff writer for The Atlantic and has written for the magazine since the late 1970s. He has reported extensively from outside the United States and once worked as President Carter's chief speechwriter. He and his wife, Deborah Fallows, are the authors of the new book Our Towns: A 100,000-Mile Journey Into the Heart of America, which has been a New York Times best seller and is the basis of a forthcoming HBO documentary.