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The Chinese government has long been accused of stealing technology from the West. But a new report suggests they may have been playing the long game all along, and using their own tech industry to get ahead.
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How China Used Technology to Get Ahead
Beijing has long had a clear plan for technology. The government laid out a road map in 2006 to make the country “an information society” by 2020. And it has been methodically following that plan ever since, with huge investments in everything from quantum computing to artificial intelligence.
China’s “Copy and Paste” Method
Much has been made of China’s “copy and paste” approach to technology, with some observers suggesting that the country has simply stolen its way to the top.
There is no doubt that China has benefited from access to foreign technology, but it would be unfair to say that the country has merely copied and pasted its way to success.
In fact, China has been quite savvy in its use of technology, often finding ways to improve upon or adapt foreign innovations to suit its own needs.
One prime example of this is the way China has utilized e-commerce. While initially seen as a sleepy backwater compared to the West, China’s e-commerce sector is now booming, with Alibaba becoming a global powerhouse.
Alibaba has succeeded in part by understanding the Chinese market better than its Western counterparts. The company has tailored its offerings to meet the needs of Chinese consumers, who are often more comfortable shopping online than they are in brick-and-mortar stores.
Alibaba has also been unafraid to experiment with new business models, such as its ” Singles Day ” sales event, which has become an annual shopping extravaganza that dwarfs even Black Friday and Cyber Monday in the united states
The success of Alibaba and other Chinese tech firms shows thatChina can be a major player in the global technology race – even if it is not always playing by the same rules as its Western counterparts.
China’s “Hack and Build” Method
China has been able to get ahead in the technology race by using a method called “hack and build.” This approach involves copying existing technology and then rapidly improving upon it.
This strategy has allowed China to catch up to developed nations in a number of areas, including artificial intelligence, 5G, and electric vehicles. It has also helped Chinese companies become leaders in the global tech market.
There are a few reasons why the “hack and build” method has been so successful for China. First, the country has a large population that provides a ready market for new products. Second, China is home to many talented engineers and scientists who are able to quickly improve upon existing technology. Finally, the Chinese government has been supportive of the country’s tech sector, providing funding and other resources.
While the “hack and build” method has been successful for China so far, there are some potential drawbacks. For example, this approach could lead to patent disputes and other legal problems down the road. Additionally, it is possible that China will eventually reach a point where it is no longer able to copy existing technology and will need to innovate on its own.
The West’s Response
Beijing’s harnessing of technology for surveillance and control within its borders has caused widespread concern in the West, not only about the implications for human rights but also about the role of Chinese companies in setting global standards. There is a growing consensus that the world needs to find a way to respond.
The “Innovation Mercantilism” Debate
Arguments over how to respond to China’s growing economic and technological might have been simmering for years, but they came to a head in 2018 with the publication of two books: “The Emperors of Innovation” by Karl Gerth and “Death by China” by Peter Navarro.
The central debate is whether the United States should continue to pursue a policy of engagement with China, in the hope that this will lead to reform and to the gradual spread of liberal values, or whether it should adopt a more confrontational approach, in an effort to contain China’s rise.
Those who favor engagement argue that it is in America’s interests to promote a stable and prosperous China. They point out that China is now an integral part of the global economy and that it has benefited from integration into the global trading system. They also argue that China has made progress on some key reform goals, such as reducing poverty and opening up its economy.
Those who favor a more confrontational approach argue that China is using unfair trade practices to unfairly gain an advantage in the global economy. They point to China’s failure to enforce intellectual property rights and its high tariffs on imported goods. They also argue that China’s state-owned enterprises receive subsidies that give them an unfair advantage in global markets.
The “China Technology Threat” Narrative
The “China Technology Threat” narrative has been gaining traction in the West for a few years now. The basic premise is that China is aggressively pursuing cutting-edge technologies (such as artificial intelligence and 5G) and that this poses a serious threat to the West’s economic and national security.
There is no doubt that China is investing heavily in emerging technologies, and there are legitimate concerns about their motivations and intentions. However, it is important to remember that Chinese companies are not the only ones pursuing these technologies, and that the West has its own capabilities and advantages.
The “China Technology Threat” narrative often exaggerates the extent of China’s technological advances, and fails to acknowledge the West’s own strengths. This leaves us ill-prepared to respond to the challenges posed by China, and could ultimately lead to costly mistakes.
Implications for the Future
As the world economy has changed, so too has the composition of global trade. In 2000, China exported $100 billion worth of goods, just 6.3 percent of the world total. By 2017, it was exporting $2.3 trillion, or 12.8 percent of the world total. In 2000, it imported $40 billion worth of goods, 2.7 percent of the world total. By 2017, it imported $1.8 trillion, or 10 percent of the world total.
The Need for a New Approach
The U.S. must adopt a new approach to technology if it wants to compete with China in the future. For years, the U.S. has relied on a model of cooperation with China, hoping that by working together the two countries could create a global system that would benefit both economies. But this approach has failed.
Over the past decade, China has deliberately stolen American technology and intellectual property, forced American companies to transfer their technology to Chinese firms, and used subsidies and other forms of state support to build up its own tech industries. As a result, China is now one of the world’s leading powers in artificial intelligence, 5G wireless technology, and other cutting-edge fields.
The U.S. cannot continue to follow the same approach if it wants to stay ahead of China in the tech race. The Trump administration has begun to take some steps in the right direction, such as imposing tariffs on Chinese goods and restricting investment by Chinese firms in American companies. But more needs to be done.
The U.S. government should work with the private sector to create a new model for developing and deploying technology. This model should be based on continuous innovation and constant investment in research and development. It should also be open and inclusive, so that America can continue to attract the best talent from around the world.
Only by taking these steps will the U
The Risks of a Tech Cold War
The United States and China are locked in a tech Cold War, with each side vying for supremacy in the critical sectors of 5G, artificial intelligence and semiconductors. The risks of an all-out conflict are growing as the two nations spar over trade, Huawei, espionage and the coronavirus pandemic.
A tech Cold War would have far-reaching implications for the global economy and industry. It could upend supply chains, handicap the rollout of new technologies and exacerbate geopolitical tensions.
Here’s a look at how a tech Cold War could play out:
The United States and China could get locked into a cycle of tit-for-tat actions that would escalate tensions and lead to an all-out conflict.
The United States has already put restrictions on Huawei, which it accuses of spying for the Chinese government. In May, President Donald Trump signed an executive order barring US companies from using Huawei equipment. The move was seen as a shot across the bow to China, and it prompted Beijing to retaliate by putting US tech giant Qualcomm on its “unreliable entities” list.
The two sides could also ramp up export controls and visa restrictions, making it harder for companies and individuals to trade between the two countries.
A tech Cold War would make it harder for companies to do business in China, where they would be caught in the middle of the rivalry between Washington and Beijing.
US companies that sell products in China could be forced to choose sides, and those that don’t comply with Beijing’s demands could be barred from doing business there. That would have a ripple effect on supply chains and global commerce.
Likewise, Chinese companies doing business in the United States could face additional scrutiny from regulators. And American consumers could end up paying more for products made with Chinese components.
