Archive for ‘Huawei’

10/02/2020

China’s first-quarter smartphone sales may halve due to coronavirus: analysts

SHANGHAI (Reuters) – China’s smartphone sales may plunge by as much as 50% in the first quarter, as many retail shops have closed for an extended period and production has yet to fully resume due to the fast spread of a new coronavirus, according to research reports.

The virus outbreak, which has killed more than 900 people and roiled China’s manufacturing industry, comes as top smartphone vendors such as Huawei had hoped China’s 5G rollout plans this year would help the world’s biggest smartphone market rebound after years of falling sales.

“Vendors’ planned product launches will be canceled or delayed, given that large public events are not allowed in China,” research firm Canalys said in a note last week.

“It will take time for vendors to change their product launch roadmaps in China, which is likely to dampen 5G shipments.”

Canalys expects China’s smartphone shipments to halve in the first quarter from a year ago, while IDC, another research firm that tracks the tech sector, forecasts a 30% drop.

Apple Inc said last week it is extending its retail store closures in China and has yet to finalise opening dates, as Foxconn, which assembles iPhones, struggles to fully resume factories.

Foxconn received government approval on Monday to resume production at a plant in the city of Zhenghzou, but its major plant in Shenzhen remain unopened.

Huawei, China’s biggest smartphone vendor, said its manufacturing capacity is “running normally” without specifying further. But like many other local peers, Huawei relies heavily on third-party manufacturers for production.

If factories cannot resume production to full capacity on time, this could delay brands’ ability to bring their newest products to market, analysts said.

Xiaomi Corp, Huawei, and Oppo, three of China’s top Android brands, are all expected to announce flagship devices in the first half.

Oppo told Reuters that while the impact of the virus will affect operations at some local factories, “manufacturing capacity can be guaranteed effectively” thanks to its plants overseas.

Xiaomi did not respond to requests for comment.

“The delays in reopening factories and the labour return time will not only affect shipments to stores, it will also affect the product launch times in the mid- and long-term,” Will Wong, an IDC analyst, said.

Globally, smartphone production will decrease by 12% in the March quarter to a five-year low of 275 million units, research firm TrendForce said on Monday. It revised down iPhone production by 10% to 41 million units, while Huawei’s output forecast was cut by 15% to 42.5 million phones.

Samsung Electronics Co, the world’s top smartphone maker, is seen the least affected by the virus outbreak as its main production base is in Vietnam, the report said, lowering its production forecasts by just 3% to 71.5 million units.

Source: Reuters

27/12/2019

US-China tech war’s new battleground: undersea internet cables

  • A push to connect Pacific nations highlights a submarine struggle for dominance over the world’s technology infrastructure
  • The ambitions of Chinese tech giants like Huawei, which have laid thousands of kilometres of cable, are of increasing concern to Washington
The ambitions of Chinese tech giants like Huawei, which have laid thousands of kilometres of cable, are of increasing concern to Washington. Photo: Reuters
The ambitions of Chinese tech giants like Huawei, which have laid thousands of kilometres of cable, are of increasing concern to Washington. Photo: Reuters
In the contest between the US and China for dominance over the world’s technology
infrastructure, the latest battle is taking place under the Pacific Ocean.
While the US has been upping the pressure on its allies not to include equipment made by Chinese telecom giants like Huawei and ZTE in their 5G systems, Chinese companies have gained a foothold in some of the world’s most essential communications infrastructure – undersea internet cables.
Smart telecom cables: climate change hope or submarine spying tech?
14 Dec 2019
Almost all global data communications flow through cables under the ocean – just one per cent travels by satellite – and Chinese companies have quietly been eroding US, European and Japanese dominance over the backbone of the internet, the undersea cable market. Now, they have trained their sights on connecting one of the most virtually remote parts of the globe, the Pacific Island countries.
Of the 378 cables currently operating worldwide, 23 are under the Pacific. But many of these cables run right by Pacific Island nations on their paths between hubs in Los Angeles, Tokyo and Singapore.
An electric submarine cable and optical fibre. File photo
An electric submarine cable and optical fibre. File photo
Despite the volume of data flowing under the Pacific Ocean, just half a million of the 11 million people living in Pacific Island countries and Papua New Guinea – less than five per cent – have access to a wired internet connection and only 1.5 million to a mobile connection, according to the United Nations Economic and Social Commission for the Asia Pacific (UNESCAP), compared with 53 per cent of people in Thailand and 60 per cent in the Philippines.

More than US$4 billion worth of cables are to come into service by 2021, continuing a trend in which US$2 billion worth of cables have come online every year since 2016, and six of these cables will connect Pacific Island countries.

The push to connect Pacific Island nations to the latest generation of internet infrastructure has received extra scrutiny from the US and its allies like Australia
over the involvement of Chinese tech companies.
Choose Beijing over Taipei, Solomon Islands task force recommends
13 Sep 2019

SECURITY CONCERNS

While the US has moved to block Huawei from supplying equipment to its allies’ 5G networks, experts say Chinese tech companies could contest the US, EU and

Japan’s

long-standing dominance over global data traffic through investments in subsea cables.

Chinese tech giants like Huawei have entire divisions devoted to undersea connectivity that have laid thousands of kilometres of cable, and Chinese state telecommunication companies such as China Unicom have access to many of the existing trans-Pacific cables.

But a panel led by the US Department of Justice has held up a nearly complete trans-Pacific cable project over concerns about its Chinese investor, Beijing-based Dr Peng Telecom & Media Group.

The project, the Pacific Light Cable Network, could be the first cable rejected by the panel on the grounds of national security – despite being backed by American tech giants Google and Facebook – setting a precedent for a tougher US stance on Chinese involvement in subsea cables.
Chinese tech giants like Huawei have entire divisions devoted to undersea connectivity that have laid thousands of kilometres of cable. Photo: AP
Chinese tech giants like Huawei have entire divisions devoted to undersea connectivity that have laid thousands of kilometres of cable. Photo: AP
Craige Sloots, director of sales at Southern Cross Cable Network, which operates the largest existing sets of trans-Pacific cables, said for any new cable, regulators were likely to scrutinise the ownership of the companies involved and the maker of the project’s equipment.
These two factors, said Sloots, “pragmatically limit some of the providers you can use if you want to connect through the US”.
Experts say that Hong Kong, where the stalled Pacific Light Cable would land, was previously considered a more secure shore landing point than mainland China. But people close to the project say the recent unrest in the city has made this distinction less relevant, according to The Wall Street Journal.

If these nations want to be part of the international economy, they need reliable communications: Bruce Howe, University of Hawaii

Similar concerns caused a proposed Huawei-backed cable linking Vanuatu with Papua New Guinea to be called off last year after Australia stepped in to fund its own cable instead.
Just months after the government-owned Solomon Islands Submarine Cable Company agreed to the project with Huawei in mid-2017, Canberra put up US$67 million to connect Sydney with the Solomon Islands and Papua New Guinea with cables laid under the Coral Sea by Nokia’s Alcatel Submarine Networks.
Simon Fletcher, CEO of Vanuatu company Interchange, which had been planning another cable in the neighbourhood connecting Vanuatu with the Solomon Islands, said the Coral Sea project undercut the viability for small private businesses to operate in the fledgling market, where services had historically been provided by international organisations like development banks. His company’s cable has been on pause since the announcement of the Coral Sea project, though Fletcher said it would go forward next year.
US-China battle for dominance extends across Pacific, above and below the sea
22 Jul 2019

VIRTUALLY REMOTE

For years, as Japan, Hong Kong and Singapore became global hubs of high-speed internet data traffic, the cables criss-crossing the ocean floor passed by just off the shores of Pacific Island countries en route between hubs on either side of the ocean.

Tiziana Bonapace, director of UNESCAP’s information technology and disaster risk-reduction division, said the Pacific Islands remain one of the most disconnected areas in the world, where “a vast proportion of the population has no access to the internet”.

Over the past five years, international organisations like UNESCAP, the Asia Development Bank and the World Bank have been pushing for better connectivity in the region. The World Bank’s Pacific Regional Connectivity Programme has invested more than US$90 million into broadband infrastructure for Fiji, the Federated States of Micronesia, Kiribati, the Marshall Islands, Palau, Samoa and Tuvalu.

Internet cables in the Pacific Ocean.
Internet cables in the Pacific Ocean.
But the business case had never been good, said Bonapace.
“A cable has to travel thousands of kilometres just to connect a population smaller than one of Asia’s megacities,” she said. “As everything we do is somehow connected to the internet, the prospects for the Pacific to become virtually more remote are even higher.”
Even nations which are connected have tenuous infrastructure. In January, Tonga experienced a total internet blackout for two weeks after damage to its single cable. Most parts of the world were linked by multiple cables to prevent this type of outage, said Bruce Howe, professor of ocean and resources engineering at University of Hawaii.
“If these nations want to be part of the international economy, they need reliable communications,” Howe said.
Is Chinese support for Pacific nations shaping their stance on West Papua?
26 Aug 2019

DRAWING NEW LINES

In Papua New Guinea, where mobile internet currently reaches less than a third of the population, a partnership between local telecoms company GoPNG and the Export-Import Bank of China funded the new Huawei-built Kumul Domestic cable system, which came online this year.

The Southern Cross Next system, owned by Spark, Verizon, Singtel Optus and Telstra – the same group of shareholders which operates the massive 30,500km (19,000 mile) set of twin cables connecting the US with Australia and New Zealand known as Southern Cross – is planned to come online in 2022, and will connect directly to Fiji, Samoa, Kiribati and Tokelau.

Chinese telecoms company China Unicom counts the existing Southern Cross cables among its network capabilities – meaning it is likely to have access to the cable through a leasing agreement with one of the other companies that uses the cable, according to Canberra think tank the Australian Strategic Policy Institute (ASPI).

An undersea fibre optic cable. Photo: AFP
An undersea fibre optic cable. Photo: AFP
China Unicom and China Telecom also list the Asia America Gateway Cable System as one of their network capabilities, according to ASPI. The 20,000km (12,400-mile) cable came online in 2009 and connects the US, Guam, Hong Kong, Brunei, the Philippines, Singapore, Malaysia, Vietnam and Thailand.
It is owned by a consortium of carriers including AT&T, Telekom Malaysia, Telstra and Spark.
A cable backed by Google and the Australian Academic and Research Network connecting Japan and Australia through Guam is to come online early next year.
China: the real reason Australia’s pumping cash into the Pacific?
28 Jul 2018

WHAT’S NEXT

Natasha Beschorner, senior digital development specialist at the World Bank, said that while there were challenges ahead in terms of broadband access and affordability, increased connectivity was starting to bring new opportunities to the Pacific.

“Digital technologies can contribute to economic diversification, income generation and service delivery in the Pacific,” Beschorner said. “E-commerce and financial technologies are emerging and governments are considering how to roll out selected services online.”

Experts say the industry has recently seen a switch from cables being mostly funded by telecommunication carriers to being funded by content providers, like Google and Facebook. Members of the private cable industry say content companies can afford to invest in cable infrastructure to ensure the supply chain for their customers, but that the competition puts the squeeze on the research-and-development budgets of other types of companies.

Sloots at Southern Cross predicted that the nations which connected directly to the massive next-generation cable – Samoa, Kiribati and Tokelau – would be able to function as connecting points for intra-Pacific cables.

“There’s a blossoming effect in capability once certain islands are connected,” Sloots said.

There is also the push to locate an exchange point within the Pacific so that internet data no longer has to travel to a hub in Tokyo or Los Angeles and back to Pacific nations when processing – a move that could ultimately lower the cost of broadband internet service for consumers in the Pacific.

Perhaps the most effective outcome could be for Pacific nations to cut the cord and receive their internet by satellite.

The Asian Development Bank has agreed to give a US$50 million loan to Singapore’s Kacific Broadband Satellites International to provide up to two billion people across the Asia-Pacific region with affordable satellite-based internet.

The project is to be launched into orbit by SpaceX next week and aims to begin providing service by early next year.

Source: SCMP

02/11/2019

China’s Nobel ambitions on show as dozens of science laureates meet in Shanghai

  • Chinese academics and young scientists join global scientific elite to explore frontiers of research
  • International joint laboratory announced at Shanghai forum
More than three dozen Nobel Prize winners for science were among the gathering in Shanghai for the second annual forum of the World Laureates Association. Photo: Xinhua
More than three dozen Nobel Prize winners for science were among the gathering in Shanghai for the second annual forum of the World Laureates Association. Photo: Xinhua

Shanghai hosted one of the largest gatherings of Nobel laureates in the world last week, with 44 Nobel Prize-winning scientists in the city for a government-sponsored forum with the lofty goal of discussing science and technology for the “common destiny of mankind”.

The four-day forum, which brought together young Chinese scientists and the cream of the international scientific crop, was a signal of China’s ambitions for its own researchers to take their place at the forefront of development and bring home their own prizes.

Experts agreed the event – the second in an annual “World Laureates Forum” – was hardly a public relations stunt, but a testament to China’s deep-seated, steadfast desire to learn from the world’s top scientists and join them, and their home countries, as leaders on the frontier of science and produce regular home-grown contenders for top prizes.

“The Nobel Prize is the holy grail for China, and it is still quite elusive for Chinese indigenous scientists to be awarded this prestigious recognition,” said Chengxin Pan, an associate professor of international relations at Australia’s Deakin University. “You could say China has a Nobel Prize complex.”

China says US tech ban is a barrier but will not halt scientific advance
Becoming a leader in the sciences was more than just an issue of driving economic expansion through technology and innovation, it was a matter of national preservation with deep roots in Chinese history, Pan said.

“China sees the lack of power, lack of scientific achievements and modern technology as largely responsible for the backwardness and humiliation it suffered during much of the 19th century and early 20th century,” he said.

“They need to make up for lagging behind by engaging with the top leading scientists in the world, wherever they are from.”

To that end, celebrated theoretical physicists, organic chemists, neuroscientists and biologists joined Chinese academics and youth scientists for the conference organised by the Shanghai city government and an association of top global scientists known as the World Laureates Association.

Among them were 2019 Nobel Prize for physics laureates Michel Mayor and Didier Queloz, as well as winners of other top prizes including the Wolf Prize, Lasker Award, and Fields Medal for mathematics. Discussions included the latest breakthroughs in disease prevention and drug development, sustainability and new energy, aerospace and black holes, as well as what drives their scientific curiosity.

Swiss professor Michel Mayor, astrophysicist and director of the Geneva Observatory, was one of the co-winners of the 2019 Nobel Prize in physics and among the attendees at the forum in Shanghai. Photo: EPA-EFE
Swiss professor Michel Mayor, astrophysicist and director of the Geneva Observatory, was one of the co-winners of the 2019 Nobel Prize in physics and among the attendees at the forum in Shanghai. Photo: EPA-EFE

The event, which culminated with the announcement of an international joint research laboratory for the world’s top scientists, to be established in Shanghai, was lauded by President Xi Jinping in an open letter to the attendees.

“China attaches great importance to the development of the frontier fields of science and technology,” Xi said, stressing China’s willingness to “work with all countries of the world” to “address the challenges of our age”.

The high calibre meeting was a rare opportunity for China to broadcast its message of commitment to scientific advancement, at a time when the reputation of its universities, academics and hi-tech companies have been taking a broad hit as part of a blowback from the US-China trade and tech wars, as well as suspicion among Western countries of China’s geopolitical aims.

In the past year, a number of major global Chinese tech companies, including Huawei and Hikvision, have been blacklisted in the US, while US tech giants like Google and Apple noticeably skipped out on China’s annual state-run World Internet Conference last month. Academic ties between Chinese and Western universities have also been called into question over suspicions of espionage, fraud, and intellectual property theft.

“China is saying we are still open for business and, at this juncture, we more warmly welcome foreign scientists and collaboration between countries in science and technology,” said Zhu Tian, an economics professor at the Chinese Europe International Business School in Shanghai.

60 science groups demand US end crackdown on foreign-born researchers

The past decade has seen China advance rapidly in the sciences. A surge in government funding, along with successive top level strategies to build up science and tech – including the Made in China 2025 innovation blueprint – and a significant uptick in international collaborations, have propelled the nation on to the global scientific stage.

Recent developments, like the first successful landing of a probe on the far side of the moon earlier this year, the dominance of the 5G network technology created by China’s Huawei, and the opening of the world’s largest radio telescope in Guizhou in 2017, have also raised the country’s profile in emerging tech and science.

But, so far, China’s rising visibility as a scientific powerhouse has been largely driven by scale. A June report by the journal Nature found researchers affiliated with the Chinese Academy of Sciences contributed the greatest number of “high-quality natural sciences research” to international journals compared with their peers at other institutions, while last month the journal found the top four “fastest rising” new universities for research output were all from mainland China.

“To some in the outside world, China is already a powerhouse in innovation … but in terms of the quality of innovations or scientific research, China still lags behind developed countries like the US, UK or Switzerland,” Zhu said.

Despite “making the fastest progress among all countries”, and significant leaps as a developing nation, “China is not at the frontier of technology or science yet,” he said, which is why international engagement, like the recent summit, is key to China’s growth.

“In order to catch up you have to know what is the frontier, you have to learn from those who are at the frontier.”

It is a point further underlined by the numerous blog posts and widely circulated articles in Chinese media about China’s meagre Nobel track record. Apart from one celebrated exception – 2015 Nobel laureate for medicine Tu Youyou – Chinese-born scientists who have won the prize did so for their work in overseas laboratories, or after changing citizenship.

Nobel Prize winner may have found solution to malaria drug resistance

Tu was the People’s Republic of China’s first Nobel Prize winner in the sciences and the country’s first woman to win the prize in any category.

Among China’s other Nobel laureates in the sciences are 1957 physics prizewinners Li Zhengdao and Yang Chen-ning, who won their award while in the US, having left China before the Communist Party takeover in 1949. Both later became US citizens. In 2017, 

Yang returned to China,

relinquishing his US citizenship to become a Chinese citizen.

China has worked hard to reverse the damage of brain drain, for example with its flagship “Thousand Talents” programme, a high-profile, state-backed recruitment drive set up in 2008 to attract overseas Chinese students and academics back to China with generous funding.
But reaching the frontiers of science, and making Nobel-worthy advancements, will also require China to do some reshuffling of its domestic priorities, which have been heavy on producing innovations in applied sciences and tech, but lighter on the basics – like physics, chemistry, and biology – whose mysteries are probed by the leading labs around the developed world.
Chinese scientists turn black coal by-product into gleaming white paper
“China in the past has been known as a place for incremental innovation, and not the place where really radical innovation and big breakthroughs have come from, but they don’t want to be tinkering at the margins, they want to be a major innovation powerhouse,” said Andrew Kennedy, an associate professor in the policy and governance programme at the Australian National University.
To change this, China has begun to raise investment in basic sciences, Kennedy said, pointing to National Bureau of Statistics figures which indicate an average spending increase of more than 20 per cent each year between 1995 to 2016. Even so, spending at the end of that period – some US$11.9 billion at market rates – still lagged well below the figure cited for the US in 2015, which rang up US$83.5 billion, he said.
Chinese scientists develop laser that could track submarines
The gathering of science laureates itself was further indication of that shift to place more emphasis on basic sciences, the kinds of disciplines the laureates lead, and could be a major boost to that agenda, according to Naubahar Sharif, associate professor of social science and public policy at Hong Kong University of Science and Technology.
“This [event] is a rocket-propelled, massive injection of scientific power into one place, and China has ambitions to gear up their own scientists to this level,” Sharif said, “and I’m sure the local Chinese scientists have been prepped to take advantage of it.”
While China has work to do in pushing back on criticism of questionable practices in intellectual property transfer, or the extent to which they share their own advances with others, collaboration with leading scientists is a crucial part of China’s “long-haul” vision in the sciences, Sharif said.
“If you rub shoulders with the most prestigious scientists of your era, your local scientists will learn something, and there’s going to be knowledge exchange and making linkages and a start to partnerships,” he said.
“This is the way that getting to that frontier can be achieved.”
Source: SCMP
29/10/2019

Donald Trump, Xi Jinping set for November 17 meeting in Chile to sign interim trade war deal: source

  • Chinese President Xi Jinping and US President Donald Trump set to meet on the sidelines of the Apec summit in Chile next month, a source says
  • The two state leaders are expected to sign an interim trade deal ‘if everything goes smoothly’
Chinese President Xi Jinping and US President Donald Trump have met twice already over the course of the 16-month trade war. Photo: AP
Chinese President Xi Jinping and US President Donald Trump have met twice already over the course of the 16-month trade war. Photo: AP

Chinese President Xi Jinping and US President Donald Trump are tentatively expected to meet on November 17 with the aim of signing an interim trade deal, a source briefed on the arrangements told the South China Morning Post.

The two leaders are expected to come face-to-face immediately after the Asia-Pacific Economic Cooperation (Apec) summit in Santiago, Chile, with a trade truce signed “if everything goes smoothly”, said the person, who declined to be identified.

Trade envoys from Beijing and Washington are still finalising the text for the two leaders to sign, but both sides have expressed optimism that Trump’s so-called phase one trade deal can be completed in time for the meeting.

Trump said on Monday that negotiations on the interim deal were running “ahead of schedule”.

“We are looking probably to be ahead of schedule to sign a very big portion of the China deal, and we’ll call it phase one but it’s a very big portion,” Trump said. “That would take care of the farmers. It would take care of some of the other things. It will also take care of a lot of the banking needs.

“So we’re about, I would say, a little bit ahead of schedule, maybe a lot ahead of schedule,” the president said, adding the deal would “probably” be signed.

Top trade negotiators for the two countries – US Treasury Secretary Steven Mnuchin, US trade representative Robert Lighthizer and Chinese Vice-Premier Liu He – spoke by telephone last Friday. The Office of the US Trade Representative released a statement after the call saying that the two sides “made headway on specific issues” and “are close to finalising some sections of the agreement”.

China’s official Xinhua News Agency said on Saturday negotiators have “agreed to properly resolve core concerns of each other” and had “basically completed technical discussions about parts of the text”. In particular, China would lift the current ban on US poultry imports and recognise the American public health certification system for meat product imports, Xinhua said.

The top trade envoys are expected to hold another conference call in the near future.

China's Vice-Premier Liu He between US trade representative Robert Lighthizer (left) and US Treasury Secretary Steve Mnuchin during trade negotiations in Washington this month. Photo: Reuters
China’s Vice-Premier Liu He between US trade representative Robert Lighthizer (left) and US Treasury Secretary Steve Mnuchin during trade negotiations in Washington this month. Photo: Reuters

Taoran Notes, an account on Chinese social media platform WeChat run by the official Economic Daily newspaper, wrote over the weekend that Beijing and Washington had moved a step closer to agreement on a “temporary deal”.

“According to past experiences and practises, the negotiation will enter the stage of translation and legal review after the technical completion of the text,” the account said.

Geng Shuang, a Chinese foreign ministry spokesman, said that technical negotiations about part of the deal were finished but deputy-level talks were ongoing. “China hopes both sides can find a trade solution based upon mutual respect and benefits,” Geng said at a regular press conference on Tuesday.

If it goes ahead as planned, the summit between Trump and Xi in Chile next month would be the third time the two leaders have sat down to talk about ending the nearly 16-month-long trade war.

Last December, the two leaders met on the sidelines of the G20 Leaders’ Summit in the Argentinian capital Buenos Aires and agreed to a three-month tariff truce to allow time for the countries’ trade envoys to work out a comprehensive deal. But the talks collapsed in early May with the US blaming China for reneging on promises it made in negotiations, while China blamed the US for attempting to infringe on its economic sovereignty.

The pair met again in late June in the Japanese city of Osaka, where they agreed to restart trade negotiations.

A minor ceasefire was reached in October when Beijing promised to buy US$40 billion to US$50 billion worth of American agricultural products in exchange for Washington postponing indefinitely a tariff increase on US$250 billion of Chinese goods to 30 per cent from 25 per cent on October 15.

Analysts expect fresh 15 per cent duties on about US$160 billion of Chinese imports – including popular products like smartphones and consumer electronics – that are due to go into effect mid-December will also be postponed if a deal is signed, though this has not been officially confirmed.

The interim deal is also expected to contain a provision on intellectual property protection, a key US demand. China has taken steps to improve IP protection, including setting up a system to punish and compensate instances of infringement, and improve settlement disputes. But how well these measures will be implemented remains in question.

China and the US would also agree to avoid allowing currency devaluations to gain trade advantages, codifying a commitment both countries made as part of a G20 agreement several years ago. A currency agreement – similar to provisions in the yet-to-be-ratified US-Mexico-Canada Agreement – could pave the way for the US to remove its designation of China as a “currency manipulator”.

The deal may include a new dispute resolution mechanism to ensure both sides live up to commitments. The system, which will give both sides equal standing, would replace a contentious US-proposed enforcement mechanism that was a key reason for trade talks breaking down in May after China felt the demands too intrusive and one-sided. It is unclear how effective the proposal would be, but the US has insisted since talks began that a similar mechanism be implemented to ensure China did not backslide on promises as it had in the past.

In addition to large purchases of farm products, the interim agreement may contain commitments by China to buy US-built aircraft and energy products, particularly liquefied natural gas.

China will also agree to lift foreign ownership limits on Chinese financial firms under the deal, changes which are already underway.

However, the interim deal will not address broader US complaints about China’s economic model, particularly allegations that foreign firms are treated unfairly and heavy government subsidies favour some domestic industries. Nor will it contain any break for telecommunications equipment maker Huawei and other Chinese tech companies that were blacklisted by the US on national security concerns.

Source: SCMP

22/10/2019

China has more ‘unicorn’ start-ups than the US

Women in China look at smartphonesImage copyright GETTY IMAGES

China has the world’s largest number of “unicorns,” privately-held start-up firms valued at more than $1bn (£771m), according to a new report.

The country has produced 206 unicorns while the US has 203, the China-based Hurun Institute reported.

Together the two countries are home to more than 80% of the world’s unicorns.

It comes as Washington and Beijing fight a trade war and jostle to become the world’s technology leader.

“China and the US dominate… despite representing only half of the world’s GDP and a quarter of the world’s population,” said Hurun Report Chairman Rupert Hoogewerf.

Chinese payments company Ant Financial tops the list with a valuation of $150bn.

Founded in 2014, Ant Financial’s main business is online payment platform Alipay, which was spun out of e-commerce giant Alibaba.

China’s Bytedance ranks second, with a valuation of $75bn. The fast-growing technology firm owns popular video-sharing platform TikTok.

Chinese ride-sharing company Didi Chuxing rounds out the top three, valued at $55bn.

High-profile US companies including home-rental site Airbnb, office space firm WeWork and electronic cigarette maker Juul also feature in the top 10.

Technology tensions

The report comes at a time of tense relations between the world’s two largest economies.

The US and China have been embroiled in a trade battle for the past year. Their power struggle has also played out in the technology sector, with Chinese telecoms giant Huawei becoming a central part of their dispute.

The US claims Huawei – the world’s largest maker of telecoms equipment – poses a national security risk and has put trade restrictions on the firm.

The company has consistently denied the allegations, and many in China argue the US is trying to curb the country’s technology ambitions.

Source: The BBC

21/10/2019

6th World Internet Conference opens in China’s Zhejiang

CHINA-ZHEJIANG-WUZHEN-HUANG KUNMING-WORLD INTERNET CONFERENCE (CN)

Huang Kunming, a member of the Political Bureau of the Communist Party of China (CPC) Central Committee and head of the Publicity Department of the CPC Central Committee, attends the opening ceremony of the sixth World Internet Conference in Wuzhen, east China’s Zhejiang Province, Oct. 20, 2019. Before delivering his speech, Huang read Chinese President Xi Jinping’s congratulatory letter to the conference. (Xinhua/Liu Bin)

WUZHEN, Zhejiang Province, Oct. 20 (Xinhua) — The sixth World Internet Conference opened Sunday in the river town of Wuzhen in east China’s Zhejiang Province.

With the theme of “Intelligent Interconnection for Openness and Cooperation — Building a Community with a Shared Future in Cyberspace,” the three-day conference will bring together more than 1,500 participants from over 80 countries and regions, including members of the Internet Hall of Fame, Nobel Prize winners and Turing Award winners.

Executives from major tech companies from home and abroad such as Microsoft, Qualcomm, Alibaba Group and Huawei will share their insight on the future development of the internet at 20 sub-forums, covering popular and cutting-edge topics such as artificial intelligence (AI), 5G and industrial digitization.

Huang Kunming, a member of the Political Bureau of the Communist Party of China (CPC) Central Committee and head of the Publicity Department of the CPC Central Committee, delivered a keynote speech at the opening ceremony of the conference.

Fifty years after the birth of the internet, efforts should be made to seize new opportunities and address risks and challenges to build cyberspace into a shared community that benefits all humanity, Huang said.

The senior official also called for enhanced efforts to develop the digital economy, unleash the digital dividend, and protect the security and order of cyberspace.

During the conference, reports on China and world internet development will be released to forecast the future trend of internet development.

The reports will review global internet development over the past five decades and the history of Chinese internet during the last 25 years.

Around 15 top scientific and technological projects in the internet sector will also be unveiled, covering AI, 5G, big data, cloud computing, digital manufacturing, industrial internet and other internet-related fields.

The number of internet users in China hit 854 million in June 2019, with the internet availability rate reaching 61.2 percent, according to the China Internet Network Information Center.

Source: Xinhua

18/10/2019

Does Huawei’s future lie with India after US ban?

HuaweiImage copyright GETTY IMAGES
Image caption The US says Huawei equipment has back doors that would enable Chinese surveillance

Chinese tech giant Huawei, which has been banned from selling 5G equipment to US telecom companies, is making an aggressive push to market itself in India.

“It’s been squeezed out of countries by a few governments already, and so a possible contract with India for 5G would be especially important,” Arun Sukumar, a tech analyst at the Observer Research Foundation, told the BBC.

“It’s worth noting that even though Huawei is comfortable at the moment, it will need to continue to invest across the world and into new markets in order to stay afloat – and what’s a bigger market than India?”

Huawei has also been banned in Australia, and several other countries are considering following suit.

The US says Huawei equipment contains back doors that would enable Chinese surveillance.

But the company has repeatedly denied claims that the use of its products poses security risks, and says it is independent from the Chinese government.

The size of India’s wireless market – dwarfed only by China – make it a vital market for any company, but the troubles Huawei is facing at present make could make India critical to its future.

The US has been pressurising India and its other allies to boycott the company and has not ruled out punitive measures against those who fail to do so.

US Commerce Secretary Wilbur Ross said during a visit to Delhi that the US hoped that its “geopolitical partner India does not inadvertently subject itself to untoward security risk”.

Jay Chen, CEO of Huawei India, told the BBC’s Devina Gupta that the company was even willing to sign an undertaking with the Indian government, promising that its equipment would contain no back doors as alleged by the US.

“We have read in the media that the US government is trying to lobby with the Indian government but I still believe that we should focus on what we can do and try our best,” he said.

Illuminated Huawei and 5G signs are on display during the 10th Global mobile broadband forum hosted by Chinese tech giant Huawei in Zurich on October 15, 2019.Image copyright GETTY IMAGES
Image caption The company provides technology infrastructure to launch 5G networks

India has not commented on US charges against Huawei and has invited it to participate in its upcoming 5G spectrum trials, although a date for this has not been announced yet.

Mr Sukumar told the BBC that to exclude Huawei from the 5G process could actually prove detrimental to India.

“No more than five companies have the infrastructure to launch 5G, and Huawei’s infrastructure is more affordable than other Western ones like Nokia and Erikson. India’s telecom industry is already struggling, so to ally with Huawei – which could provide the service at the lowest rate – is very attractive,” he said.

India does not have a homegrown alternative to Huawei’s technology – and the company is well aware of this.

Mr Chen told the Economic Times newspaper that Huawei was now a vital part of India’s digital ecosystem and that to exclude it at this stage would risk “breaking” it entirely.

“I think the loss will not only be financial but also about losing technology development,” the newspaper quoted him as saying.

Source: The BBC

12/10/2019

China’s Xi and India’s Modi discuss proposals to improve ties hit by Kashmir

MAMALLAPURAM, India, (Reuters) – Chinese President Xi Jinping said on Saturday he had a free and frank discussion with Indian Prime Minister Narendra Modi and would pursue proposals the two leaders discussed to improve bilateral ties.

Xi and Modi held several hours of one-on-one talks in a southern seaside Indian town in their second annual summit designed to break through decades of distrust between their countries over border disputes, a ballooning trade deficit and China’s close military ties with India’s arch rival, Pakistan.

“Yesterday and today we have engaged in candid discussions and as friends,” Xi said in opening remarks as the two leaders sat down for formal talks with their delegations.

“I look forward to further discussions, I may follow up on proposals discussed yesterday,” he said, without elaborating.

Ties were ruffled when India revoked the special status of the Himalayan territory of Kashmir in August, angering both Pakistan, which claims the region, and its all-weather ally China.

Modi noted in his opening remarks that he and Xi had agreed to manage their differences prudently and not let them snowball into disputes.

The neighbours are expected to move forward on a set of confidence building measures along their border including border trade, tourism and even joint military patrols to boost trust, officials said.

India and China share a 3,500 km (2,200 mile) border, over which they went to war in 1962. Its course remains unresolved despite more than 20 rounds of talks.

Modi took Xi on a personal tour of temple monuments dating back to the seventh and eighth century at Mamallapuram in southern India when regional leaders had trade ties with Chinese provinces.

India’s Foreign Secretary Vijay Gokhale said the two leaders spent nearly five hours discussing bilateral issues that have often been fraught.

The two leaders discussed economic issues, including India’s $53 billion trade deficit with China in 2018/19, and ways to tackle it, Gokhale said.

China, for its part, was expected to urge India to take an independent decision on telecom equipment maker Huawei’s bid for India’s proposed 3G network and not be swayed by U.S. pressure. The United States has asked its allies not to use Huawei equipment, which it says China could exploit for spying.

Sources told Reuters in August that China had warned of “reverse sanctions” on Indian firms engaged in business in China should India block Huawei Technologies [HWT.UL] because of U.S. pressure.

Xi will head to Nepal later on Saturday where he is expected to push for China’s further involvement in developing its infrastructure as part of his signature One Belt One Road initiative to boost trade and transport links across Asia.
Source: Reuters
04/10/2019

South Korea’s Samsung closes its last smartphone factory in China

  • ‘Difficult decision to cease operations’ at plant in Huizhou taken to ‘enhance efficiency’, company says
  • Firm’s market share in China has dwindled to near insignificance as competitors like Huawei and Xiaomi have taken upper hand
Samsung said operations at its last factory in China ended last month. Photo: Reuters
Samsung said operations at its last factory in China ended last month. Photo: Reuters
Samsung Electronics

said on Friday it has ended the production of smartphones in its last factory in China.

Operations at the plant in the south China city of Huizhou, Guangdong province, ended last month, it said in an email.
The company made “the difficult decision to cease operations of Samsung Electronics Huizhou” in order “to enhance efficiency” in its manufacturing, it said.
Samsung’s market share in China has dwindled to near insignificance as competitors like Huawei and Xiaomi have taken the upper hand. It once had 15 per cent of China’s smartphone market.
Samsung once had a 15 per cent share of China’s smartphone market. Photo: AFP
Samsung once had a 15 per cent share of China’s smartphone market. Photo: AFP
The South Korean giant has moved a large share of its smartphone production to Vietnam and closed a factory in northeastern China’s Tianjin last year.

“The production equipment will be reallocated to other global manufacturing sites depending on our global production strategy based on market needs,” the statement said.

Samsung is the world’s biggest manufacturer of semiconductors and smartphones and a major producer of display screens. But the flagship of South Korea’s largest conglomerate is currently weathering a spell of slack demand for computer chips.

Like other South Korean electronics makers, it also is facing the impact of tightened Japanese controls on exports of hi-tech materials used in semiconductors and displays.

On Wednesday, Sony said it was closing its Beijing smartphone plant and would only make smartphones in Thailand.

But Apple still makes major products in China.

“In China, people buy low-priced smartphones from domestic brands and high-end phones from Apple or Huawei,” Park Sung-soon, an analyst at Cape Investment & Securities, said.

“Samsung has little hope there to revive its share.”

Samsung’s factory in Huizhou was built in 1992, according to the company. South Korean media said it employed 6,000 workers and produced 63 million units in 2017.

Samsung manufactured 394 million handsets around the world in 2107, according to its annual report.

Source: Reuters

17/09/2019

China gripped after sighting of its own ‘Loch Ness Monster’

Footage showed a long black creatureImage copyright PEAR VIDEO
Image caption Grainy footage showed something that appeared to have a tail slithering back and forth in the water

Something is lurking in the deep in China’s famous Yangtze River – and social media discussion is rife over what it might be.

On Friday, footage appeared on China’s popular Sina Weibo microblog of what appeared to be a long, black creature, manoeuvring through the waters, and it has dominated online discussion ever since.

Footage has quickly racked up millions of views, and theories are rife.

Specialists have weighed in – but some think there may be a simple, and less murky, explanation.

Excitement over footage

A video filmed off the coast of the city of Yichang in western Hubei province, close to the Three Gorges Dam, captured the unusual scene.

The video has racked up more than six million views and hundreds of thousands of likes after being shared by the popular Pear Video, and shows what looks like a giant eel or snake slithering along the surface of the water.

Locals are filmed watching the creature from the shore – and social media users have similarly been captivated over theories about what the creature might be.

Many have posted using the hashtag #ThreeGorgesMonsterPhotos, and specialists have begun to weigh in with their thoughts.

In an interview with Pear Video, Professor Wang Chunfang from the Huazhong Agricultural University dismissed the idea of it being a new species, saying it was likely a simple “water snake”.

Some users said that “external factors such as pollution” could have a role to play in a sea snake growing to an extraordinary size. But not everyone was convinced.

Separate footage has led some users to question whether the unidentified object is actually a living creature at all.

Different footage of China's 'Loch Ness'Image copyright THE PAPER
Image caption Millions have watched footage of the item, but some think it might be a piece of simple rubbish

Popular news website The Paper shared separate footage of something long and black moving in the water that appeared to be less animated.

It asked if the whole thing was simply “a rumour” – and interviewed a biologist, Ding Li, who said that the object was neither a fish nor a snake, but simply “a floating object”.

A picture has since gone viral showing a long piece of black cloth washed up on some rocks, fuelling discussion this might have been the mysterious object.

Could the item have been a piece of black cloth?Image copyright THE PAPER
Image caption The appearance of some cloth washed up on some rocks has got users asking if they were mistaken

Both have led to jokes about whether the local government was trying to attract tourism to the area, given the millions of dollars involved in building and maintaining the Three Gorges Dam.

Others have made jokes about the quality of the footage, despite the rapid development in China of high quality smartphones.

Some joked that the user obviously didn’t have a Huawei phone. Another said: “Monsters always appear only when there are few pixels.”

So what does live in the Yangtze?

A baby Giant Chinese salamanderImage copyright AFP
Image caption Giant Chinese salamanders live in the Yangtze river. They can grow to 1.8 metres in length

The Yangtze River is the longest river in Asia, and at 3,900 miles in length (6,300km), is the third longest in the world.

But pollution has severely affected the river in recent years, meaning that its ecosystem has become narrower, rather than wider.

The largest creature thought to exist in the waters at present is the Chinese giant salamander, which can reach some 1.8m in length.

This species is critically endangered, largely as a result of pollution.

The Three Gorges Dam is the world's latest hydroelectric damImage copyright ZHANG PENG/GETTY IMAGES
Image caption The Three Gorges Dam is the world’s latest hydroelectric dam

China’s other ‘Nessies’

China is no stranger to conspiracy theories about mythical creatures lurking in the deep.

Since 1987, questions have been asked about whether a “Lake Monster” exists in the Kanas Lake in north-western Xinjiang, following numerous reports of sightings.

However, specialists believe that this is a giant taimen, a species of salmon that can grow to 180cm long, the official China Daily said.

More recently, in August 2017, footage went viral showing an unusual water creature seemingly raising its head in the waters of Luoping County in Southwest Yunnan province.

Officials, however, dismissed the “monster” as either an alligator, or a piece of floating rubbish.

Source: The BBC

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