>CNET News.com
>China blocks foreign software
>By CNETAsia Staff
>August 18, 2003, 8:56 AM PT
>
>A new policy from China's governing body states that all government
>ministries must buy only locally produced software at the next upgrade
cycle.
>The State Council's move, aimed at breaking the dominance of Microsoft on
>desktop computers, will eliminate Microsoft's Windows operating system and
>Office productivity suite from hundreds of thousands of Chinese government
>computers over the next few years.
>
>Gao Zhigang, an official with the Procurement Center of the State Council,
>told reporters that the new policy will be in place by year's end.
>
>
>At a special congress held to encourage ministries to upgrade to WPS
>Office 2003, a China-made office productivity suite, Gao said the
>government will purchase only hardware preinstalled with domestic
>operating systems and applications. Those seeking exceptions will need to
>submit a special request.
>
>The new policy is expected to increase the number of government officials
>who use domestic office software, from one-third to 100 percent,
>eventually. Gao said the new policy is meant to support the local software
>industry and protect the state's information security.
>
>Microsoft had been on a charm offensive, including granting the government
>inspection rights over Windows source code and creating a new CEO position
>for greater China.
>
>The new policy will continue until at least until 2010. The protections
>are standard and are not meant to discriminate against other countries,
>the council stated. China is a member of the World Trade Organization, and
>it is unclear if the new ban contravenes the body's charters.
>
>"The domestic software industry is very insulated. There is poor
>interaction and partnership with user companies. The increased use of
>domestic software will make the China software industry more open," said
>Fei Lin, an official with the State Assets Supervision and Administration
>Commission.
>
>The ban comes as part of China's efforts to challenge Western technology.
>Chinese software company Kingsoft used to have 90 percent of the market
>with its Chinese word processing tool, but has lost nearly all market
>share to Microsoft Word since the early 1990s.
>
>In addition to commercial reasons for protecting local software, there are
>security issues. China is placing official support behind the Red Flag
>Linux operating system, which they trust, because the open-source code
>allows officials to see that there are no data spyholes installed by
>foreign powers.
>
>Zhang Xiaonan of ZDNet China contributed to this report.
