Saturday, December 3, 2022

China rules

The problems associated with doing business with China have been discussed at great length including China's propensity to steal intellectual property. Chinese rules require foreign firms who want to enter certain industries -- such as energy, telecommunications and autos -- to form joint ventures with local partners, which often results in the transfer of technology to the Chinese companies. Recently China has upped the ante by demanding that Apple make it difficult for the Chinese people to communicate with one another and Apple dutifully complied. Contrast that to Elon Musk who has allowed his company Starlink to provide a way for Ukrainians to communicate with one another. This is particularly important at this time when the Chinese people are protesting in the streets. Apples decision has made it more difficult for the protesters to organize. It was this ability for people to communicate with each other that made the Arab Spring uprising successful. It is hurting the people in Iran who are presently protesting. Governments are well aware of the power to the people that the ability to communicate can bring. While Apple's profits seem to be utmost in the mind other factors should be considered and this will not be done without pressure from the government.

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