Thursday, January 21, 2010

Foreign Companies Concerned Over Intellectual Property Theft in China
The recent Internet attack on Google has alarmed Western enterprises in China. It has, in addition to China's loose patent rights and increasing pressure on companies to release sensitive information, prompted some high-tech German executives to warn of a possible exodus from the country.

According to a Jan. 15 article in Germany’s Handelsblatt (Commerce paper), Beijing will launch Chinese Compulsory Certification (CCC) regulations in May 2010 that will require companies to submit their IC design blueprints or software source codes in exchange for approval to enter the Chinese market. The potential dangers for misuse of the regulations are very big, the article said.

The EU Chamber of Commerce in China has publicly criticized China several times regarding the espionage problem, and one position paper mentioned that the standard demanded by the CCC’s could result in sensitive, detailed information not directly relevant to certification finding its way into the hands of corrupt Chinese.


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