Wednesday, August 6, 2014

China Whacks Microsoft when they are down

A story in Reuters today [ China anti-trust regulator conducts new raids on Microsoft and Accenture LINK ]  says some things we have all heard before about the way China does business, but one of them is interesting.

The State Administration for Industry and Commerce, has been raiding U.S. companies for a variety of bogus reasons for as long as there has been trade between us.  But something else caught my attention in this article.  Microsoft has been having disruptions in their OneDrive system in China.  OneDrive is a lot like Google's Google Drive, for those who might not have seen it.

Microsoft is down because its business in China is down.  The Obama Administration has complained many times about the amount of counterfeit software sold in China, but the Central Government has decided not to use Windows 8 in their enterprises, a bigger setback.  Microsoft spent years working an arrangement where they knew software was being counterfeited, but didn't make a fuss because the Central government would buy enough to keep them happy.  That seems to have turned sour, and now their OneDrive is being disrupted.  As anyone knows, that could happen through any one of naturally occurring events.

They should talk to Google about this kind of thing.  When Google and the Trade people in China were going toe-to-toe in a debate over what Google should censor, Google started having "power problems" in some of their data centers.  The Chinese laid that to the kinds of trouble any growing central city would have.  The Chinese have new excuses for almost anything that can occur.

If it doesn't look coincidental, don't make a coincidence out of it.  The Chinese are more than willing to disrupt operations if they don't like something you are doing, dirty as that is.  Intimidation isn't the way to do international business.  It is one thing to stop buying a commercial product, but quite another to intentionally disrupt business operations.        Amazon books:  

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