Microsoft President: China closing technology gap with the West

Edited By: Hanshika Ujlayan
New Delhi Updated: Nov 14, 2024, 12:07 PM(IST)

File photo of the Microsoft logo. Photograph:( Reuters )

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The West should not think or assume that China is lagging behind the US and Europe on technological developments, Microsoft’s president and vice-chairman warned according to a detailed report by CNBC.

The West should not think or assume that China is lagging behind the US and Europe on technological developments, Microsoft’s president and vice-chairman warned according to a detailed report by CNBC.

US and China tensions in the past few years have centered on the battle between the two nations for technological supremacy, resulting in several export control measures on critical technologies from both the nations, the CNBC report explained further.

Late last year, China’s Huawei took the market by shock with the release of a smartphone whose studied reviews indicated downloads speeds associated with 5G. This sparked speculation of an apparently clear chip breakthrough that defied US technological sanctions and hence resulted in further escalating tensions. 

Speaking at the Web Summit technological conference in Lisbon, Portugal, on November 13, Microsoft’s Brad Smith told CNBC that “in many ways,” China is close to or is even catching up on technology.

“I think one of the dangers, frankly, is that people who don’t go to China too often assume that they’re behind,” he told CNBC in an exclusive conversation. “But when you go there, you’re impressed by how much they’re doing.”

Accordingly, he believes that Chinese and American companies will be competing on technology into the distant future and urged US and European companies to collaborate and to grow economies and bring new advancements like artificial intelligence to the rest of the world, detailed the CNBC report further.

Microsoft has operated in China since 1992

Microsoft has operated in China since 1992, according to the company’s website, including through its largest research and development center outside the US.

Further, Microsoft CEO Satya Nadella elaborated last year that the firm wasn’t focused on China as a domestic market, but that it provides services to Chinese companies and has a more visible presence locally than do many other US technology giants.

It is further anticipated that going ahead, issues related to technology transfer, movement of data, designs and innovations between the US and China will get more demanding and challenging for both the nations. Even as the US now moves towards a transition in administration from Biden to Trump.

According to experts a clear business relationship between a US company and China is only possible, when the US offers a service that the Chinese government aspires to have and the US government is willing to allow such a transfer.

Therefore, as China further consolidates and closes the technological gap on the US, some more technology will move to China and this might continue to even propel the Chinese economy going ahead. 

It is hence crucial to note that the gap between the US and China in terms of cutting-edge technology is rapidly reducing. This is bound to bring more challenges and difficulties for both the nations to adjust accordingly.

 

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