Challenging Europe and the World: How China is Creating its Own Web (Experience)

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Challenging Europe and the World: How China is Creating its Own Web (Experience)
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The Internet in China is more than just censorship. Largely unnoticed by most western spectators, Chinese companies have developed innovative digital solutions, providing users with home-grown ecosystems of apps, hardware and services. Chinese netizen create new spaces of identity management, public discourse and civic engagement. These dynamics increasingly shape the pace of global digital innovation. Europe may find itself in a position to choose between a Chinese and an American version of the Internet.
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thank you very much for the introduction my colleague is still getting that's what am more than happy to do the introductory part of home as you think you're around for some if you've been here around for some time but you know that we have a 3rd party in a role on the Chinese Internet and it's a great honor error but also a great burden as to non-Chinese speakers to now speak to you about Chinese Internet of and we're very happy that we can also relate to a lot of the things that are more we along a professor who own and down from the front of the part have already mentions as I said we're German and as Germans what we can offer to you you
we try to system systemize everything we draw a little nicer boxes and now I'm trying to put everything together what you for it so far if you've been around for some time now and then this is the the message we would like to bring to you what does it all mean for us here in Europe so the topic of our talk on this evening is challenging Europarl China is
creating its own where my name is christine she called her and my colleague is how could you know we both work at the merits the
Carter Institute of China Studies this cell private initiative a private research institute based
in Berlin we have been established in October to solvent 13 and what is special about what we do research only on China on Contemporary China I'm a broad range of issues the Chinese financial system how does the Chinese economy will develop and what about social protests in China but also a ball digitalization digital dynamics in China and on what we do is all provide solution was asked questions and provide solutions for practitioners not for academics only but for people who were interested in China like you are obviously but also the decision makers doing so would you all but it was it is the notion of a doing off performance of tonight because I like that sensory managers take out my earrings movements social the OK a couple of properties of sorry for that I'm at was that we tried to ask questions and provide solutions for people really deal with China on a day-to-day basis if people people were interested into China but also for decision makers in on the political economic and social realm so if the interest said about a little more about what we do we have some flyers with us and you also welcome to visit our website www . merits
vol . 0 . point or don't put it we don't believe that the Chinese Internet is driven by 3 main the dynamics the first one is we have nothing you had a good impression by that if you've been here for some time by junk-bond very enthusiastic never residence in China this is the social aspect of it and we will elaborate on that of further on in the next 20
minutes or seconds key driver is the Chinese government what we call a technocratic governance the Chinese government believes and uses the Internet as 1 main aspect of their
Paul play of the propaganda strategy and on the economic side we have a very challenging dynamic
markets are mostly driven by privately owned IT companies I like to start with the
1st I key driver the into
just think users and the other 3 aspects to that 1st of all our as you might already heard
a Chinese netizens mostly of assess the Internet wire they're smart for 85 per cent of the 6 100 50 million Internet users mainly assessed the Internet by and there's not for only 40 % roughly used electro all their on the tablet computer and desktop computers of people use that have been reduced to assess the internet it's about 60 % so really most of the people read all paid to play use various kind of apps using their smartphone the 2nd aspect of the Chinese people and also Duncan is really an illustration of that are what I would call early adopters especially compared to other Europeans or especially the Germans so they're very prone to very curious to use new technology that change a lot of the Chinese friends I have change the
smart for they have a couple of smartphones are and they also like to try various kind of new apps they have much more prone than we are in Germany put to put a lot of information online to share a lot of things on Nigeria shared digital culture you could say so and intent is a mass-market so if you have an apple and there was an avid just give an example last year
the world was a very famous actor in China by which you could kind of our create and beautify you're of a TA your personal profile and in various social media networks and that was 1 Apr coming out and just within the week 20 million users downloaded this kind of act so it really creates it created a huge traffic and of course the the founder of the application which is called me long in in China as a set for dishes avatars was very happy about it but this is just an example to show you people are very eager and very curious to try all kinds of different things and this creates art various aspects also assign trend which we would call digital mobile mobilization this is on the 1 hand side has to do with consumption people really like to how for example on so-called black China China Black Friday adds the 11th of november where Chinese people like to buy things on e-commerce platforms all must be cold it because they can get better deals there's also a an application like group always can sign up for collective deals and of highly Bob about last year on the 11th of november about provides 1 of the most famous e-commerce platforms in China they made billions of dollars within 1 minute on 11 of November because really everybody gets collectively on the internet and looks for deals and bias things but of course also politically I'm Chinese users use on social media networks to organize of protesters organized charity activities but also list that these kind of destructive aspect to that's on the Chinese Internet because it's so popular kinds of due to combat the official media and not as much as a platform of pure opinions as they are in the West Palm due to the end the ship they also use social media to denounce people to
impact people and some Chinese they put pictures of local politicians this is very are very famous very popular in China put pictures of our local politicians online showing them in comp complementing situations like
visiting of a bordello or wearing luxury watches and something like that it's called human flesh search and and then a lot of Chinese people but also share more information about this local cadre shares address and try to
find out his address and I
say where dead as his children go to school that so that's also up a kind of destructive aspect to that kind of
digital more time I and zation which brings us to the 2nd key driver on the technocratic governments and time and over to my colleague copper for that yeah fainted his character
sing community but now you have
so that we see there is a huge dynamic going on in the social sphere of the Chinese Internet and and of course the
Chinese government is a government that very much wants to control things and by all means wants to control information and technology and the belief that technology can indeed solve political problems which is a commonly known as technocracy is a cornerstone of this development so the Chinese government is not talking about the digitalization of the economy but about informatisation and so what is the difference here on on digitalization is just maybe that the application of this 2 D of the digital sphere to physical objects of processes but but informatisation really means thinking about how is information is created how is information valued them and how does it um the influence the political process and how does this to this process intact with technology and and so the Chinese government does have a broad strategy and really puts a lot of effort into understanding how technology will shape the future society of the political system and of the economy of course and I'd like to say that the the Chinese government may be 1 of the most of the governments in the world that is thinking most about how to approach and uh this rapid technological change and of course of the Chinese government is using these tools and big data and will end on the Internet to broaden its control over information and citizens 1 very important example of this is the so-called social credit system so that the government wants to introduce and the social credit system started out as being just a ranking of who pays the bills on time and who not but it is now we evolving rapidly and in the end it shall encompass that's a big picture of every Chinese person rating their financial situation but also rating how they behave online which people do they interact with what kind of comments diversity from websites and social media and and what kind of articles do they read and all these information should be gathered through working with Internet companies uh but also through some of the state propaganda apparatus and the police apparatus and so this is really big dystopian project that the Chinese government is undertaking in this right now working working on to create this arm and then there is a 3rd aspect that comes into play when we're talking about how to control information and and that is i t protectionism on of course Western software as most of the time a closed source software so when you look at max of windows for example the Chinese government cannot we look into the system and see how does it operate and and it is therefore uh said to be a threat to national security armored so that the Chinese government actually banned Windows 8 from government computers from this year the last year on and is seeking to replace more and more of self when companies but also in of the bureaucracy the with Chinese alternatives and and so of course this is this huge threats to Western companies who want to other lost money in China and some do but the question is can they carry on them to do that From this of course leads to the question if there's a protectionism and if more and more foreign IT companies are shut out so what kind of alternatives other how is the Chinese IT industry working in 1 of the developments this brings us to the 3rd key driving factor the economical aspects it's a very dynamic but also very challenging market and of course on the 1 and that the Chinese I need I t intrapreneurs are quite happy is that the Chinese government through these
protective measures also help them to go on to develop their own applications their own services because most of the US of services are not available in China but so that could that created a huge what John has called Deke spirit or entrepreneur oracle spirit we have a lot of Chinese cities which which
really are of the Chinese versions of Silicon Valley in Beijing in Guangzhou also in in Shanghai and also smaller cities of we have
a very vibrant started out see young people who really want to do something different want to create something not of course also hopefully but become the 2nd jet mother fond of Ali Baba all made a lot of money last year by his very all impressive IP all alone in the USA but may also due to create something to sell their idea to make a good apple or make a good on on technology and this is also fostered by
the Chinese government as a said that provide infrastructure in various kind of cities office space there's also tax policies related on to that because the chinese government wants to on the 1 side solve the employment issue in China which is among especially young
academics a problem people on tend to look for a jobs and don't find an appropriate ones so this is 1 aspect to that and the Chinese government also would like to foster the start up spirit to on the chief industry upgrading to to become a high tech on industry country and not only stay at the stage of on made in China and that's really to develop into a country all with tag like created in China this is the 1st aspect the 2nd aspect is almost because China is of mass market and I
mentioned that the user if an application can also can can now attract 20 million of 30 million users on we can make a lot of money so up people tend to especially in the uplink in the application are relevant to basically copied our prominent applications from the west to
adopt them a little bits and bring them to the Chinese market or if they're successful trainees applications tried to ah develop them a little bit further but of course that this doesn't only stay at that stage as Duncan before also has mentioned we do see various especially in each market slide on trolling sort of various also software for example for for medical hospitals were Chinese started the interveners really make real innovations but the incentives because it's a mass markets to really just kind of slightly adopt a very successful apps for example while is of course of their huge incentives arm for that yes I this and so we have this very dynamic market and we have
the big IT companies and very successful successful entrepreneurs that gain a lot of social credit like you not make you also showed and then so
these are these um c was also become a political challenges them in a way so we see that lady in their seal off Sami is a member of the Chinese parliament and so has some degree of influence the same is true for Jack Ma and and so we see that these i t and entrepreneurs not only stayed in their own realm of of of the ITU world but also try to influence on what the government is doing and and even some criticizing the Government sometimes very prominently in the last example was last week Eric's you the steel while weight loudly criticized the Chinese Government's IT strategy and said that the protectionism that the government is currently I'm working on and would actually harm Chinese IT companies but in the longer run because this Chinese IT companies are protected from the global market for a long time he says and the innovation might stop at some point and so we see that
uh there's a a new development and these people out of very um very self-confident and try to shape and IT policy of of the government our so now we talked about the different dynamics and that we see in the Chinese Internet but of course the question is how will it impact us how would it into Europe and and of course the theme of this year's Republicans find in Europe and so what is the what does Europe have has to deal with and so we have 3 points that we want to make the 1st as we will see more and more Chinese standards we will see Chinese standards in IT products from for example we know the what the uh Wi-Fi of system that um for actually forced Apple to rebuild the 1st iPhone to make it compatible with the Chinese market because it wasn't a lot to sell and then and we see that the use of Chinese standards are very active part of Chinese foreign policy so that the Chinese government is making huge investments all of Africa and South Asia out to bring in more IT infrastructure and broadband and mobile communications systems there and it uses uh of course Chinese standards there and so this might may very well be a challenge to classical European development aid from that we can see you
know that we should look out for and just think about how to deal with it the 2nd point is a global expansion and of course is this IT giants grow up there they
will become more prominent or even more prominent in the west from qualities of course
here for long of foreign time um I think anyone anybody in the room here we have used as uh the
hardware-based is probably this that today when using the telephone some even use a telephone hover about city of over in the oval and so this is of course to but the next step that is coming that we see is Chinese e-commerce companies like Ali Baba has been talked about their currently also expanding to over to Europe and they've done a lot of logistics networks the 3rd and last asking would like to mention is the very unique digital
ecosystem that has evolved in China due to of course on the 1 inside the protector of protectionist policy of the Chinese government but also due to the really huge demand and the authors for new applications by the Chinese users and that was me for ask for example when we travel to China don't we have to deal and we have to use completely diff loan applications we better should should get used to we chapter because of the chapter on the not only instant messaging application on a jumble already have mentioned LM because nowadays in big cities you also use that this as a platform to for example call taxis to make reservations in restaurants and
also to connect with Chinese business is partners the state don't have already knew about with fewer people have really made cards that you just show you or you which had a colony and you can you all that into a QR-code images just say 0 nice to meet you please can my my in my quad core from my we to the column so we really if we go to China if we deal Chinese people we definitely have to get used to these sometimes as i said very innovative and very coal also applications and of course also forward for German a European on businesses because the Chinese or to come into your frequently and we're happy with that as as tourists as students and also there used to using very different applications they don't use people use Ali play an RTP which belongs to Ali Bob arm of the company by GEC now they also make a huge effort not to go into the American market and as we see the also already has started an e-commerce platform called highly expressed here in
europe of course to cater for the needs of the foreign customers but also to the Chinese customers who might live here so this is our 3rd and last aspect that we really have to also probably get useful and deal with a very different set of on applications and so for services thank you very much for your patience over your interests and we're happy to take your questions if you have a few I think if I came there have a question should
it ends in D to be a very broad very holistic to paint a holistic picture of how a Chinese citizen
is behaving online offline uh in social interactions and political life and economic life in the financial lies and so this is really on the young instant to just give a score to every Chinese and say how do you behave what I'm doing and
and it is of course all of our sort of control interestingly the social credit system should not only apply to citizens but it should also be applied to government agencies to Baroque procedures and so there might also be an interesting catch when you look at the ongoing anti-corruption campaign for example can corrupt passes the downgraded and in a way that will it affect the career of of the caterers working in this department if the score is below a certain point so it's so this might also be an interesting point them for for government organization how the way the government is working but of course from I think the main point here is about controlling what citizens are doing in 1 of the um reasons the Chinese government is has been giving why they developed this system is that a lot of social boundaries and a lot them In the last years of the reform and opening up policies evaporated so that the the control through maybe also over the party on your local and and the local party is not as strong as it used to be and it was the clue is crucial questions so that is how far the Chinese IT companies willing to provide such kind of data I mean this is also discussion we obviously have in other countries of of of the world but also how the Chinese consumers themselves if they have any bargaining power or how can their legal rights can be protected in the in the wake of this really broad-based government initiative should all be established by 2022 and this is a government plan which has just been published last year it's in in Chinese it's cultural way she'll teacher so it's social social credit that system of which is the as my
colleague said would collect all kinds of data you track what kind of things will you buy what kind of platforms to which people do you talk online a maybe link this with your credit card information all with your medical record at the hospital so really bringing together all kinds of data you create the a man made of course also reduce the tracking of the
cell phone is the oldest person has been you know around uh some some places where they have been processed so of course all these kind of data will also be available over to to the government and the so
it all they had sorry at and you move it over time as the completion of thank you very much yeah OK prior to the session of the the