After seven rounds, the top spot is now tied between two riders: On one side Jorge Lorenzo and on the other Casey Stoner, both with 140 points.
The second row of the grid consists out of Cal Crutchlow, Jorge Lorenzo and home hero Stefan Bradl in fourth, fifth and sixth place.
Álvaro Bautista has to start from the back of the grid after a collision he had with Lorenzo at the previous round in the Netherlands and Franco Battaini replaces the injured Karel Abraham.
Spies, who initially looked to have made a good start, does not gain or lose any places but gets relegated to third at Turn 2 when Stoner overtakes him from the outside.
On lap two, the top two start to open up a small gap to the Factory Yamaha duo of Spies and Lorenzo.
Héctor Barberá goes up the inside of Valentino Rossi at the Sachsen Kurve for ninth position.
Michele Pirro has entered the pits to retire from the race due to mechanical problems, the San Carlo Gresini Honda rider stepping off and inspecting the rear of his bike.
At the Queckenberg Kurve, Crutchlow looks to pass his teammate Dovizioso, but slams on the brakes and decides to stay behind for the time being.
Bautista meanwhile has made up multiple positions and is now in eleventh place, overtaking Randy de Puniet at the Sachsen Kurve a lap earlier.
Bradl is also being harassed by Hayden, the American almost making a move at the Sachsen Kurve but staying behind for the time being.
Lap thirteen and Spies has closed the gap to Curtchlow, now making it a three-way battle for fourth again.
Exiting Turn 5, switching over from the right to the left side, Stoner has a huge moment, causing him to lose time and tow to Pedrosa.
Entering the Sachsen Kurve, both Crutchlow and Spies look to be making a move but decide to stay behind for the time being.
Exiting Turn 12, he is right behind the Italian but isn't able to make a move, opting to take a slightly different line entering the Sachsen Kurve and go side by side with Dovizioso on exit, but isn't able to take the position and has to slot behind him entering the Queckenberg Kurve.
Pedrosa and Stoner at the front now have to pass two backmarkers - rookie Danilo Petrucci and Iván Silva - at the short straight between the Sachsen and the Queckenberg Kurve.
Bautistá tries to retake seventh place from Rossi via a very late lunge at the Sachsen Kurve but runs his bike way too deep and loses two positions as a result.
A photofinish-esque third place is reserved for Dovizioso, who pips Spies just as they both cross the line, the American missing out on a podium finish and having to settle for fourth position.
Further back, Bradl holds off Rossi for fifth, the Italian finishing ahead of a charging Bautistá to come home sixth.
Rossi comes alongside Pedrosa and shakes his hand while still on the bike, congratulating him on his victory, Hayden doing likewise.
Pedrosa is the first rider to arrive at parc-fermé, being congratulated by some of his crewmembers as he puts both his arms in the air to signal victory.
Dovizioso then inspects his own and the other riders' rear tyres for wear as Pedrosa takes off his gloves, still sitting on the bike.
A disappointed Stoner has now arrived back at the garage, sitting down in his chair and taking off his gloves in the meantime.
Lorenzo goes up to Pedrosa back at parc-fermé and gives him a handshake to congratulate him on the win, then walks over to the section where the media is to be interviewed.
[4] Pedrosa's win, Stoner's retirement and Lorenzo's second place has now blown the title hunt wide open again.