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Closing down of the Google Translate API

You may have read in the news that Google announced the closure of its Translation API in December 2011.
But what does it actually means? 
How will this affect the translation industry?

Note that Google announced the closure of the Google Translation API and not the Google Translate web application.

want to know the implications of this decision, read this article by Renato Beninatto on the closure of Google translate API

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