ict in china

8/12/2019 ICT in China

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Information and

Communication of China

Presented by: Nguyen Dinh Chien

Student ID: P0126557

[email protected],

[email protected]
mailto:[email protected]:[email protected]:[email protected]:[email protected]


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Main content

BACKGROUND

OVERVIEW OF THE DEVELOPMETON THE ICT INDUSTRY OF CHINA

COMPARE TO OTHER COUNTRY

THE RELATIONSHIP BETWEEN ICTIN CHINA AND TAIWAN

EDUCATION OF CHINA


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Main content

BACKGROUND




EDUCATION OF CHINA


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BACKGROUND

The Peoples Republic of China is thelargest country in East Asia, with areaabout 9,640,821 million squarekilometres. The Chinas capital is Beijing. over twelty-two provinces

five autonomous regions,

four directly control municipalities and two mostly self-governing special

administrative regions are Hong Kong andMacau.

It is the most populous country with ao ulation about 1.3 billion.


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History of China (1)

Shang Dynasty 1766-1121 BC Zhou Dynasty 1122-211 BC

Qin Dynasty 200 BC

Han Dynasty 206 BC220 AD

The Kingdoms Periods 220-80; Jin dynasty265-420; Northern and Southern dynasty 304-589; Sui dynasty 581-617

Tang Dynasty 618-907

The Five dynasty and Ten dynasty (907-960)

Song Dynasty 960-1126


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Yuan Dynasty 1279-1369 Ming Dynasty 1368-1644

Qing Dynasty 1644-1911

The Republic of China, founded in 1911

On 1 October 1949, Established the People'sRepublic of China in Beijing . The Kuomintangrelocated the ROC government to Taiwan,establishing its capital in Taipei.

Since 1949, the People's Republic of Chinaand the Republic of China (now widely knownas "Taiwan")


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In 1971, the PRC gained admission to the UNand took the Chinese seat as a permanentmember of the U.N. Security Council. China isalso a member of numerous formal and

informal multilateral organizations, includingthe WTO, APEC, BRICS, the ShanghaiCooperation Organization, the BCIM and theG-20.

Since 1978, China has become the world'sfastest-growing major economy.

In 2011 and 2012, it is the world's second-largest economy, after the United States.


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Culture of China (1)

Since ancient times, Chinese culture has beenheavily influenced by Confucianism andconservative philosophies.

Chinese culture has long emphasized a sense

of deep history and a largely inward-lookingnational perspective.

A number of more authoritarian and rationalstrains of thought were also influential, with

Legalism being a prominent example. The first leaders of the People's Republic of

China sought to change some traditionalaspects of Chinese culture.


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Culture of China (2)

The Cultural Revolution of the 1960s, manyimportant aspects of traditional Chinesemorals and culture.

Today, the Chinese government has accepted

numerous elements of traditional Chineseculture as being integral to Chinese society.

Prior to the beginning of maritime Sino-European trade in the 16th century, medieval

China and the European West were linked bythe Silk Road, which was a key route ofcultural as well as economic exchange.


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Industrial development status (1)

From 1949 to 1959, China's technologicalrelied on the supports provided by the SovietUnion.

From 1960 to 1978, China was in the abyss of

political movements, economic stagnation,treachery, fractional fights, and ultimatelyhuman degradation.

From 1979 to 1999, after the Third Plenary of

the Eleventh Communist Party Congress atthe end of 1978, China's economic policy hasbecome pragmatic alongside with institutionalreforms and restoration.

The 1990s also witnessed a boom of China'sex ort of manufacturin oods.


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In 2005, Industry produced 53.7 percent of thePeople's Republic of Chinas gross domesticproduct (GDP).

China ranks second worldwide in industrial

output. It is expected to rank first sometime in2011.

China has become a preferred destination forthe relocation of global manufacturing

facilities. Overall industrial output has grown at an

average rate of more than 10 percent per year,having surpassed all other sectors in

economic growth and degree ofmodernization.


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GDP of Peoples Republic of China from 1952 to 2005


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Main content

BACKGROUND




EDUCATION OF CHINA


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History of Science and

technology of China (1) The Four Great Inventions such as

papermaking, printing, the compass,and gunpowder contributed to theeconomic development in Asia and

Europe. Chinese activity started to decrease in

the fourteenth century. Chinese reformers began promoting

modern science and technology aspart of the Self-StrengtheningMovement.

After the Communist victory in 1949

science and technology research was


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History of Science and

technology of China (2) In 1976, Science and Technology (S&T)

was established as one of the FourModernizations.

In 1995, The State Council of the

People's Republic of China issued the"Decision on Accelerating S&TDevelopment".

State institutions joint ventures with

Chinese or foreign venture capital inorder for S&T developments.

The Chinese government has takenprompt action program as program 863,

973, 985 and 211.


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Information and Communication

of Technology in China. Since the late 1980s, China establishing

market economy, market demands in place ofcentralized planning were believed to be theonly driving force of ICT development in the

partys developmental theory. In 1984, theState Council put forth the DevelopmentStrategy for Our Countrys Electronics andInformation Industry.

In this part, we present four basic issues: The 863 program

Impo rt and export Hi-Tech

Character ist ics of ICT Development

Some companies o f China in ICT.


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The 863 program (1)

March 1986, the 863 Program wasproposed with state financing of around11 billion RMB and an output of around2000 patents (national and international).

Under the plan, about US $200 billionwas to be spent on information andcommunication technologies, of whichUS $150 billion was earmarked for

telecommunications. The following are some results of the

development of information andcommunication technology through the

863 program:


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The 863 program (2)

- The Shuguang and Legendsupercomputers have surpassed athreshold speed of a trillion times persecond. The Shuguang 4000A

supercomputer, with a speed of 11 trilliontimes per second, ranks the top tenamong the worlds top 500supercomputers.

- The building and development of thecore system software, computeroperating system, database system andthe high speed network system.


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The 863 program (3)

- The project computer farming underthe Program won the grand prize at aworld information summit sponsored bythe UN.

- China has also achieved an all-roundbreakthrough in superconductorapplications.

- Developed the application of artificial

intelligence and applications in areassuch as, machine translation, speech totext, information retrieval, Chinese textrecognition and human face detection

and recognition


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Import and export Hi-Tech

(1) The PRCs official statistics on high-tech

trade are divided into nine productcategories

Computers and telecommunications

Life science technologies Electronics

Computer-integrated manufacturing

Aerospace

optical-electronics

Biotechnology

materials, and others.

The high-tech category is comparable withthe US trade statistics on advanced


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The PRCs High-Tech Trade by Categories,2010


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Foreign-Invested Firms Contribution to thePRCs High-Tech Exports (%)


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Import and export Hi-Tech

(2) The large share and the surplus in the

Computers and Telecommunications categoryis consistent with the fact that the PRC ispositioned at the final stage of the ICT

production chain-assembly. In high-tech products, foreign-invested firms

have been playing an even more crucial role,dominating the PRCs high-tech exports.

In 2002, foreign-invested firms produced 79%and wholly-foreign-owned firms produced 55%of high-tech exports.

In 2004, the share of foreign-invested firms

grew to 86%; In 2006 the share of wholly


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Charac ter is t ics o f ICT

Development China fol lows w ishes to repeat thesuccess s tor ies o f Japan and theFour L itt le Tigers , i.e., Taiwan, HongKong, Singapo re and South Korea.

Internat ional Bus iness Environm ent Open-Door Industrial Policies

FDI Dom inance in ICT Produ ction and Expo rts

Indigenous Catch-up Process Am idst Global

Compet i t ion Select ive Impo rt Subs ti tut ing Measu res


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International Bus iness Environment

Chinas re-entry into global economy hastaken place in the context of unprecedentedconcentration of global business power: tradeliberalization, liberalization of capital flows,

deregulation of national financial systems,privatization

In 1998, the top 10 companies accounted for70% of the $334 billion global market in

computers and 86% of the $262 billion globalmarket in telecommunications.


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Open-Door Industrial Policies

In 1986, the Chinese government announcedthe Decision of Encouraging Foreigninvestments.

In the 1990s, the state cancelled most of its

tariff protections of indigenous ICTmanufacturers from foreign competitors. At theend of 1991, more than 2,600 foreign-investedenterprises were established

By 1997, utilized foreign capital made up 40%of the total industrial investment.

Between 1999 and 2002, the total industrialinvestment in the ICT sector by the government

and domestic enterprises was around $180


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FDI Dom inance in ICT Produc t ion and Expo rts

(1)

Competitiveness of indigenous firms, Chinasgrowing ICT exports have rather enriched andstrengthened foreign-invested firms.

The Chinese state used foreign direct

investment to jump-start the export-led ICTdevelopment. In particular, preferential tradepolicies have created an unequal play groundfor foreign and domestic players.

Since 1998, the rate of refunding taxes forexported commodities has been raised from6% to 15%, and 10 electronic and informationcommodities even enjoyed a 17% tax refund

rate.


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FDI Dom inance in ICT Product ion and Expo rts

(2) By 2005, a total of 6,480 foreign-invested ICT

enterprises were established, which made up 40.4%

of the total number of all ICT enterprises in China.

Domestic firms confronted these entry barriers, foreign-

invested enterprises would continue to be the majoragent of export-led industrial growth.


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Competi t ion (1)

Between 1986 and 1994, the state providedsubsidies for domestic manufacturers insoftware, IC, computer..., and exemption of thevalued-added tax, deduction by half of the

income tax, retention of 10% of the salesincome for R&D funds, and exemption of importtariffs for crucial manufacturing equipments.

In the reform era, China transformed from

planned economy to market-orientedproduction, and to foster and strengthenmarket-oriented domestic firms. Besides, thestate also expected domestic firms to achieve

economies of scale by being the originale ui ment manufacturers for multinationals.


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Competi t ion (2)

Chinas fledging domestic firms have beencompelled to enter global market competition,which shapes the modes of capitalaccumulation of indigenous firms. After

accumulating some production and businesscapacities, domestic firms use thecompetences they have already accumulated inOEM exports as a springboard to start their

brand names in the domestic market. Chinas low position of final product assembly

is largely defined by the global chain ofproduction controlled by multinationals. In the

domestic market, Chinese firms strive to makebreakthrou hs in consumer electronics


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Competi t ion (3)

From 1990, the state no longer required importpermits and lowered tariffs for computerproducts.

In 1996, domestic PC producers initiated four

price wars, which won them a major marketshare.

On the demand side, apart from the relativelysmall size of affluent urban residents, the

majority of the Chinese population in thecountryside cannot afford ICT products.

On the supply side, the majority of domestic PCmanufacturers are only capable of semi knock-

down (SKD) or complete knock-down (CKD)


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Select ive Impo rt Substi tu t ing Measu res (1)

In the 1990s, the state heavily invested in aseries of Golden projects to expand domesticmarkets for computer and telecommunicationtechnology. These government-initiated projectsforcefully drove infrastructure construction and

technological updates. In 2002, the state passed the Government

Procurement Law, which decrees thatgovernment procurement should be confined to

indigenous products, services and projects. In 2006, as high as 50% of the servers

purchased by government and educationalinstitutions were still foreign brands.


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China is also implementing the Go Outstrategy in the Global South and particularly isaiming to explore markets in Southern Asia,Eastern Asia, Africa and Latin America.

By 2003, several Chinese enterprises haveestablished manufacturing facilities, Chinese-controlled shareholding corporations, tradingfirms and R&D centers in developing countries.Developing and promoting indigenous

corporate power is an integral part of Chinasglobalization scheme.

In contrast to South Korea and Taiwan, Chinaintroduced foreign direct investment to jump

start export-led industrial growth in the early


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More recent state interventions are meant toredress the vulnerable position domesticindustries have been placed.

Although China is facing the challenge ofpracticing catch-up efforts amidst dominanttransnational market forces, the process ofshaping Chinas ICT development is by nomeans complete.

Chinas unified and powerful state power andits potentially largest domestic market provideeffective leverage to invigorate progressiveindustrial policy.


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Some companies of China in

ICT

Founded in Beijing in 1984 andincorporated in Hong Kong in 1988

Tsinghua Holdings Company Limited of

Tsinghua University in Beijing

Headquartered in Beijing, Beyondsoftpossesses nationwide branches and

research centers. 2000, ChinaSoft International Limited is a

listed company in the Hong Kong Stock

Exchange Neusoft was founded by Northeastern

University in 1988

HiSoft was founded in 1996. In 2002, the

company established a Japan-based

subsidiary.


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Main content

BACKGROUND




EDUCATION OF CHINA


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COMPARE TO OTHER COUNTRY (1)

Between 1998 and 2007, the volume ofimports from China toward Brazil grew atan "exorbitant" four digit rate (over2000%) with an average annual increase

of 46.60%. China is not the worlds factory as often

stressed, raising all kind of fears aboutpotential lost of industries, but rather the

worlds assembler. In January 2011, China Mobile, Japans

NTT Docomo and South Koreas KTstruck an alliance to exploit opportunities

in the mobile market in their home


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Indian operator RelianceCommunications is set to secure US$1.93 billion of funding from the ChinaDevelopment Bank Corporation (CDBC).

The agreement also includes up to US$600 million towards the purchase ofequipment from Huawei and ZTE, on topof an existing US$ 750 million facility for

hardware and services from the Chinesevendors. This exemplifies the major roleof China.

During the last decade Brazil, India and

China went through majortransformations that ielded im ressive


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Emerging economies trade in ICT goods, 1997

(US$ million)

National

China

Brazil

Russia

India

South

Africa

ICT Exports

Communication equipment

2685

214

98

63

119

Computer equipment

7513

257

53

249

133

Electronic components

4922

174

153

112

33

Audio & Video equipment

7168

400

267

77

32

Other ICT goods

906

131

346

44

77

Total ICT exports

2453

1176

917

545

394

ICT Imports


2453

2027

1492

280

1211

Computer equipment

3864

1516

373

637

1075


9664

2748

238

598

440


1989

987

321

103

358

Other ICT goods

1618

1217

907

378

433

Total ICT imports

19588

8495

3332

1997

3516


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Emerging economies trade in ICT goods, 2007

(US$ million)

National

China

Brazil

Russia

India

SouthAfrica

ICT Exports


82035

2332

476

355

274

Computer equipment 144514 229 115 347 193


60841

245

385

692

191


59570

178

38

140

212

Other ICT goods

8608

397

666

344

271

Total ICT exports

355568

3380

1680

1877

1142

ICT Imports


19618

3187

7035

8320

2785

Computer equipment

38066

2457

3971

4075

2221


173473

5404

1359

2291

790


12418

1146

4051

1436

939

Other ICT goods

11891

2122

2887

1968

972

Total ICT imports

255195

14315

19303

18091

7707


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The regional trade seem to be now more tiltedtoward Latin America much to the detriment ofthe EU and the US.

Notwithstanding Chinas tremendous economic

success, about 208 million Chinese still livedbelow the international poverty line of US$1.25per day of consumption in 2005.

Overcoming the remaining rural poverty

required innovative approaches and continuedstrong support.

Rapid industrialization, population growth, andlax environmental oversight have caused many

environmental issues and large-scale pollutionin China.


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Main content

BACKGROUND




EDUCATION OF CHINA


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THE RELATIONSHIP BETWEEN ICT

IN CHINA AND TAIWAN (1)

Over the past 20 years, Taiwan has becomethe worlds fourth largest ICT hardwareproducer with more than 10 particular products.75% of PCs installed in the world with Windows

OS are produced by Taiwanese IT companies. Today, the entire production base has mostly

migrated to mainland China due to low cost inlabor and land factors.

The Taiwanese entrepreneurs are dominatingat least 75% of the ICT hardware productionvalue produced in the PRC. Taiwan is also thefourth largest semiconductor industry in the

world.


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Taipei-approved investments in China nearlytripled to $5.7 billion in the first half of 2010.

Taiwanese companies employ an estimated14.4 million workers on the Chinese mainland.

Foxconn employs an estimated 800,000workers in China compared with just 20,000 inTaiwan.

Taiwan Semiconductor Manufacturing Co. is

the world's largest contract chipmaker with a45% share of the market, according to theGartner Group.


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Some pundits call Taiwan'ssemiconductors its "silicon shield"against an attack from China, arguingthat the United States would move to

prevent any such strike to safeguardU.S. access to the precious chips. Taiwanese industry entered China in the

1980s to take advantage of the

inexpensive labor, land and constructioncosts there. Investment soared in the1990s as the demand for IT productsboomed around the world.


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Taiwanese companies have beenstronger than their Chinese counterpartsin hardware though less successful insoftware. Acer was the world's No. 2 PC

maker in the first half of 2010, whileLenovo ranked No. 4. Taiwan dominates the worldwide market

for portable computers through contract

manufacturers whose names are littleknown to the general public. However,China has been winning businessagainst Taiwan in the field of software

services.


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Main content

BACKGROUND




EDUCATION OF CHINA


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EDUCATION OF CHINA (1)

Many scholars believe the history of educationin China can be traced back at far as the 16thcentury BC. Confucianism probably is thebiggest influence in education of Chinathroughout the entire Chinese history. In Handynasty, a form of public education systemwas established.

Changes had been made throughoutthousands years of history, more Westerninfluence were bought in to the Chineseeducation system during the Qing dynasty.

From 1940, Scholars and government officialssuggested a major restructure of educationsystem, developing new areas such as foreign


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In 1985, the National Peoples Congresspromulgates the Compulsory Education Lawof the Peoples Republic of China, thusplacing basic education in the country on afirm legal basis.

Project 211 and Project 985 was born topromote the education and R&D of China'sscience and technology with the intent ofraising the research standards of high-leveluniversities and cultivating strategies for socio-economic development. During the first phaseof the project, from 1996 to 2000,approximately US$2.2 billion was distributed.


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211 Project schools take on the responsibility oftraining four-fifths of doctoral students, two-thirds of graduate students, half of studentsfrom abroad and one-third of undergraduates.They offer 85% of the state's key subjects, hold96 percent of the state's key laboratories, andutilize 70% of scientific research funding.

For International Student Assessment, 15-years-old students from Shanghai ranked firstin all of the three categories: mathematics,science, and reading in 2009.

n erna ona u en ssessmen


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n erna ona u en ssessmen2009 results for the top 10nationsRank Maths Sciences Reading

1. Shanghai, China 600 Shanghai, China 575 Shanghai, China 556

2. Singapore 562 Finland 554 South Korea 539

3. Hong Kong, China 555Hong

Kong, China549 Finland 536

4. South Korea 546 Singapore 542Hong

Kong, China533

5. Taiwan 543 Japan 539 Singapore 526

6. Finland 541 South Korea 538 Canada 524

7. Liechtenstein 536 New Zealand 532 New Zealand 521

8. Switzerland 534 Canada 529 Japan 520

9. Japan 529 Estonia 528 Australia 515

10.

Canada 527

Australia 527

Netherlands 508
http://en.wikipedia.org/wiki/Chinahttp://en.wikipedia.org/wiki/China


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List of 9 universities

University

Location

Year

Founded

QS Rankings

2012/13

Fudan University Shanghai 1905 90

Harbin Institute of

TechnologyHarbin, Heilongjiang1920 401-450

Nanjing University

Nanjing, Jiangsu

1902

168

Peking University Beijing 1898 44

Shanghai Jiao Tong

UniversityShanghai 1896 125

Tsinghua University Beijing 1911 48

University of Science and

Technology of ChinaHefei, Anhui 1958 186

Xi'an Jiao Tong University Xi'an, Shaanxi 1896 361

Zhejiang University

Hangzhou, Zhejiang

1897

170


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Project 985 (98/5) is a project first announcedby CPC General secretary and ChinesePresident Jiang Zemin at the 100th anniversaryof Peking University on May 4, 1998 to promote

the development and reputation of the Chinesehigher education system.

The project involves both the national and localgovernments allocating large amounts of

funding to certain universities in order to buildnew research centers, improve facilities, holdinternational conferences, attract world-renowned faculty and visiting scholars, andhelp Chinese faculty attend conferencesabroad.


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When first announced in 1998, the projectfunding was made available to an elite group of9 universities.

By the end of the first phase of the project, 35

universities were sponsored. In the secondphase of the project, four more universities. Itwas announced in 2011 that the project will notadmit other universities (Table 5).


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REFERENCES (1)

[1]. Jean Paul Simon, The ICT Landscape in BRICSCountries: Brazil, India, China, European Union, 2011

[2]. The Ministry of Science and Technology People's

Republic of China, China Science and Technology

newsletter, 2004 [3]. Yang Yao, In Search of a Balance: Technological

Development in China, Beijing University, 2001

[4]. Yixue LI, Introduction of bioinformatics research and

service in China, Xinli Wu, The Potential for TechnologyEducation in People's Republic of China

[5]. YU HONG, Distinctive Characteristics of Chinas

Path of ICT Development: A Critical Analysis of Chinese

Developmental Strategies in Light of the Eastern Asian


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REFERENCES (2)

[6]. Yuqing Xing, The Peoples Republic of Chinas High-Tech Exports: Myth and Reality, Asian Development

Bank Institute, 2012

[7]. http://lazure2.wordpress.com/2010/09/02/be-aware-

of-mainland-china-and-taiwan-stronger-manufacturing-links-in-ict/

[8]. http://en.wikipedia.org/wiki/China

[9]. http://www.most.gov.cn/eng/index.htm

[10]. http://www.973.gov.cn/English/Index.aspx

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