The awakening technology Red Dragon

by Kevin Shockey

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Last week Sun Wah Linux Limited organized the first ever China Open Source Week. The event was composed of the Asia Debian Mini Conference, the 5th Asia Open Source Software Symposium and Codefest Asia 2005.

The event was hosted by the China Software Industry Association, China Open Source Software Promotion Union, and the China Electronic Standardization Technology Institute. The event also won the support of the State Council Informatization Office People's Republic of China, Ministry of Information Industry, Ministry of Science and Technology.

As I mentioned before, I think the adoption of open source in China and Asia is big news. If you factor in the recent sale of IBM's PC business to Lenovo, you begin to see the strategy at work in China.


The bottom line for this news is simple. After decades of making the stuff we buy that we don't really need, China is moving into the technology industry. Because they are successful at making things cheaply and selling it for a profit, they continue to accumulate the cash needed to move into the tech game. Adoption of open source is just another way for them to save money, be legitimate, retain autonomy, and prepare for the changes unfolding in the software industry.

As four billion eyes lock onto the technology industry, China will become a very strong player in the emerging global market for technology. When software margins continue to vanish, whoever can make software the cheapest will win. Conversely, if your an ISV, these very same margins will force you to see the world as your market. Every sale will count, every service contract will count. Given that forecast, the emergence of the Red Dragon as a powerful competitor in, at least in Asia, the technology industry should be concern for every software maker, no matter the size.

So if you work in the tech industry, and you have not made the connection why this trend is important to you consider the following. The next time you're in Walmart or at Disney on Ice, know that the trinkets you buy for the kids will inevitably carry a stamp or sticker with the designation "Made In China". When this happens, you're financing a strategy to compete against you in the technology industry of the future. This is the rule of capitalism, and it is tough to handle but if you want to participate in a capatilistic system you have to expect competition. All of this is moot if you are preparing for that competition? You are preparing to compete, aren't you?

Is your company looking into the new opportunities available in the global software market?


2005-03-07 07:22:57
"adoption of open source in China and Asia is big news"

Good. So when it becomes so unattractive for me to develop open source software in Europe due to patent restrictions all I have to do is move to China and pick up where I left off ? Either that or we lobby China to adopt Europe as another province.. :-)