This spat on intrusive rules is going to be a huge long battle.
The US is voicing opposition to Chinese rules that foreign vendors hand over the source code if they were to supply computer equipments to Chinese banks – which could expand to other sectors as the matter is “part of a wider review”.
Other measures to comply with include the setting up of research and development centers in China and building “ports” for Chinese officials to manage and monitor the data processed by their hardware.
Submitting to these “intrusive rules” for a slice of the huge Chinese markets also means alienating the rest of the world – as complying with these rules means creating backdoors, adopting Chinese encryption algorithms and disclosing sensitive intellectual property.
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