Microsoft’s Windows operating system has long been immensely popular in China. The challenge lies in convincing the people of this nation to pay for legitimate software.
During the visit of Chinese President Hu Jintao to Microsoft’s headquarters in Redmond, officials from the software giant were filled with hope that the situation would change. The Chinese government has shown a strong determination to eradicate rampant software piracy in the country, and many computer companies have committed to shipping more products with legally installed Windows operating systems.
One of these companies is Lenovo Group, the number one computer manufacturer in China and a notable name that made headlines last year by acquiring IBM’s PC division. Last night, Lenovo held a meeting with Chairman Bill Gates and CEO Steve Ballmer, reaffirming their commitment to delivering computers with genuine Windows. Last week, Lenovo’s competitor, Founder Technology Group, also discussed similar matters with Microsoft.
While Gates described this as “a significant milestone in the ongoing partnership with Lenovo,” analysts remain cautious. They believe it will take some time before these commitments translate into revenue for Microsoft.
Nonetheless, from Microsoft’s perspective, the Chinese government’s clear willingness to crack down on software piracy is an important step, as the company views China as a key market for revenue growth.
In an interview with AP, Yang Yuanquing, Chairman of Lenovo, stated that currently 70% of the computers the company sells in China come with legally installed Windows, a 10% increase from six months ago.
According to Yang, the “author” of this change is the government, which requires all public agencies and large businesses to install legitimate software, alongside campaigns to combat pirated software. In the next 12 months, Lenovo plans to purchase approximately $1.2 billion worth of software from Microsoft, with $200 million of that amount designated for the Chinese market.
Tian Yi