How to deal?: all western soft and hard can be banned in China unless open access to its source code.
17th October 2008
Government of the Peoples Republic of China is now considering a new system of software certification which provides mandatory opening of initial codes for certification of this or that product at the local market. It is not necessary to give source codes, but it is obligatory to show it to government structures responsible for import and certification.
The final bill may be accepted in May, 2009 and it can be applied not only to soft- but also to some hardware which responsible for information processing.
In case the company-importer refuses to accept the new rules, officials under the new law can prohibit import of such goods and their sale at the Chinese market. The same will concern factories of foreign companies having assemblage in the Peoples Republic of China.
Officially, the Chinese authorities thus intend to struggle with software where there can be non-documented functions, and also with the equipment which can have double assignment. However, informally, critics say that it actually legalizes the state espionage as corporations like Microsoft, Oracle, Intel, IBM and others, should open all their developments for Chineses. It is remarkable, what now many western countries shout that industrial, informational, economic and military espionage from the part of China has reached unprecedented scales. On the other hand, developers say and that is absolutely not clear how to ship to China initially encrypted data, for example, music records protected with DRM.
Obviously, Japan and the USA will be most furious opponents of such a bill, as they are delivering a considerable share of hi-tech production to China. However, officially none of IT Companies has commented on the new initiative, for the stakes are too high: a huge and fast growing market of a milliard population, eager to buy production.
There is another queer problem about the prospective law: it is not absolutely clear, how international payment systems are going to function as they demand presence of the closed infrastructure for safety of financial transactions. Various contactless systems of authorization are also up in the air.
Representatives of western companies say that they know nothing about the new initiative, however, there is almost no doubt that a huge share of the secrets, opened to the Chinese government, then will be used by the country in their own products.
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