The novel of the China-US trade war has gained its newest chapter: According to the Financial Times, the Chinese government has ordered all foreign PCs and software used in government offices and public institutions to be replaced by preferential local solutions in the next three years. years. This will negatively affect companies such as Microsoft, Google Dell HP and others.
Cross-country trade war continues and topples stock exchanges around the world
China wants to see its government and public institutions using local-branded products, including Huawei, OPPO and others – and is a retaliatory reaction to recent problems surrounding its relations with the Trump administration and the US government.
The US government does not want US companies to do business with Huawei, and now we have Beijing ordering its employees to stop using foreign hardware and software.
One of the points of the US-China controversy is the worldwide 5G deployment from US-based Qualcomm and China-based Huawei. Earlier this year, the Trump administration said it wanted 5G hardware designed and manufactured outside of China.
In addition, we have the trade wars between the US administration's administration and China (which eventually affected PC hardware prices by as much as 25%), and the recent allegations that China was placing spy chips on the motherboard of China. Super micro.
The Financial Times article states that analysts at China Securities estimate that Beijing's orders will result in 20 to 30 million devices that need to be replaced. Analysts say about 30 percent will be replaced by 2020, 50 percent by 2021 and the remaining 20 percent will be replaced by 2022.
Requests for replacement of PCs and software came straight from the Chinese Communist Party Headquarters "earlier this year," and although the related documents are confidential, officials of two cyber security companies told the Financial Times that their government clients also described the order. Employees asked to remain anonymous as the information is politically sensitive.
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