Reuters reported that Beijing had mandated that as much as 70% of Chinese government software procurement be directed to domestic developers. Under a revised policy bureaucrats will be advised to show preference to local developers, but this definition has been stretched to include the Chinese operations of international players such as Microsoft and Oracle. The new policy also includes a hardline against pirated software.
In trade skirmishes between China and the US this year, two of the biggest sticking points have been China’s rampant piracy and government policies that work against international, particularly US-based, companies.