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Article

19 Apr 2017

Author:
Sui-Lee Wee, New York Times (USA)

China: Executives say complaining may have led to China's relenting on tougher internet security rules

"As Zeal for China Dims, Global Companies Complain More Boldly", 19 Apr 2017

…In late March, a group of more than 50 American lawmakers sent a letter to the Chinese ambassador to the United States, Cui Tiankai, taking direct aim at China’s restrictions on cloud computing. They wrote that current and draft regulations would force the transfer of valuable intellectual property to Chinese companies and effectively bar foreign cloud service providers “from operating or competing fairly in China.”…James McGregor, chairman of the greater China region for…APCO Worldwide [said]... “Foreign businesses here used to be very excited about China...Now, it’s kind of a grind and a battle.”…

Still, executives say complaining can have an impact. Earlier…Mr. Obama publicly criticized proposed Chinese rules that would require technology companies to turn over encryption keys to Chinese authorities. His administration had also expressed concern about Chinese draft regulations that would require China’s financial sector buy only from “secure and controllable” suppliers, which trade groups said effectively meant Chinese companies. In both cases China relented, temporarily scrapping the banking laws and tempering the language in the antiterrorism law… [mentions Alibaba, Amazon, Microsoft & Qualcomm]

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