How China Skillfully Navigated the Global Tech Crisis

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While most of the world faced major computer issues on Friday, China largely avoided these problems. The reason is simple: China doesn’t use much CrowdStrike software.

Many companies there prefer not to buy from an American firm that has previously warned about cyber-security threats from China.

How China Avoided the Global Tech Crisis

While much of the world dealt with major computer problems on Friday, China managed to stay mostly trouble-free. This is because China doesn’t use much CrowdStrike software. Many Chinese companies avoid buying from an American firm that has previously warned about cyber-security threats from China.

Additionally, China is less dependent on Microsoft compared to the rest of the world. Instead, domestic companies like Alibaba, Tencent, and Huawei dominate the cloud services market.

As a result, reports of tech issues in China mostly affected foreign firms or organizations. For instance, some users on Chinese social media complained about difficulties checking into international hotels like Sheraton, Marriott, and Hyatt in Chinese cities.

In recent years, Chinese government organizations, businesses, and infrastructure operators have increasingly replaced foreign IT systems with domestic ones, creating what some analysts call the “splinternet.”

“It’s a testament to China’s strategic handling of foreign tech operations,” says Josh Kennedy White, a cybersecurity expert based in Singapore. “Microsoft operates in China through a local partner, 21Vianet, which manages its services independently of its global infrastructure.

This setup insulates China’s essential services – like banking and aviation – from global disruptions.”

Beijing’s Strategy to Strengthen National Security

Beijing is working to cut down on its reliance on foreign technology to boost its national security. This approach is similar to actions taken by some Western countries.

For example, in 2019, several countries banned technology from the Chinese company Huawei. More recently, in 2023, the UK prohibited the use of Chinese-owned TikTok on government devices.

In response, the US has taken strong measures to limit China’s access to advanced semiconductor chips and has tried to prevent American companies from investing in Chinese tech. The US government claims these restrictions are necessary for national security.

Global Times Criticizes Tech Restrictions and Advocates for Open Technology Market

On Saturday, the state-run Global Times newspaper published an editorial that subtly criticized restrictions on Chinese technology. The piece pointed out the irony of some countries focusing on security while ignoring real security issues.

The editorial argued that the US tries to control who can use global technology and how, despite its own companies causing global problems due to negligence. It also criticized internet giants who dominate the industry, suggesting that relying only on these top companies for network security might create new risks and hinder fair access to technology.

The mention of “sharing” likely refers to ongoing debates over intellectual property, with China often accused of copying Western technology. However, Beijing insists it is committed to an open global technology market, even while maintaining strict control over its domestic tech sector.

In other news, a few workers in China expressed gratitude to an American software company for an early weekend. The phrase “Thank you Microsoft for an early vacation” was trending on the social media site Weibo, accompanied by images of error screens.