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Posted in Asia, Cablegate, Intellectual Monopoly, Microsoft at 3:31 am by Dr. Roy Schestowitz
Summary: A look at cables where Microsoft’s Craig Mundie (one of the very top chiefs) is mentioned as involved
According to the following Cablegate cable, “Microsoft Chief Research and Strategy Officer Craig Mundie to Peking University Guanghua School of Management Dean Zhang Weiying emphasized China’s need to create an environment that would allow innovators to be financially rewarded for the risks they took to innovate. They cited the need for real intellectual property rights…”
In other public talks, Mundie was bashing the GPL. It matters because Mundie is influential [1, 2] and he speaks to influential people (he is also among those attending Bilderberg meetings). The following two cables help us see where he’s making these engagements (see ¶7 in the first cable and 1045-1145 for the middle eastern programme in the second cable).
=> 1 | 2 | attending Bilderberg meetings
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TREASURY FOR OASIA/ISA -- DOHNER, HAARSAGER AND CUSHMAN
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E.O. 12958: N/A
TAGS: ECON [Economic Conditions], EFIN [Financial and Monetary Affairs], EINV [Foreign Investments],
ETRD [Foreign Trade], PGOV [Internal Governmental Affairs],
PREL [External Political Relations], CH [China (Mainland)],
WTO [World Tourism Organization]
SUBJECT: INNOVATION REQUIRED FOR CHINA'S ECONOMIC GROWTH
REF: BEIJING 23856
¶1. (SBU) Summary: The National Bureau of Statistics and the
U.S.-based Conference Board hosted a national forum on
Innovation and China Economic Growth October 20- 22 in Suzhou,
Jiangsu Province. During the conference, PRC officials from the
Chinese People's Political Consultative Conference (CPPCC),
National Bureau of Statistics (NBS), People's Bank of China
(PBOC) and the Shanghai Stock Exchange, as well as
representatives of foreign multinational corporations, discussed
"self-innovation" and identified systemic changes necessary to
foster innovation in China. The systemic changes included:
increased IPR protection, financial sector liberalization,
openness to the world, and creation of a society in which
failure was acceptable. End summary.
CHINA: Big, but not Strong
¶2. (U) CPPCC Vice Chairwoman Zhang Meiying stressed in her
keynote address the importance that China's leadership has
placed on innovation. Zhang said that while China's total GDP
made it the fourth largest economy in the world, on a per capita
basis, China ranked only 110th in the world. This showed that
China was a big country, but not a strong country. According to
Zhang, under President Hu Jintao's leadership, China has decided
that the way to create strength from size is through self
innovation.
¶3. (U) Zhang said that rapid growth over the past twenty years
had placed strains on national resources that would lead to
decreased economic development. China needed to rely on
innovation to create a foundation for sustainable growth. China
had a low proportion of clean, high-technology industries.
China's leadership realized that the environment was not a free
commodity and that environmental damage would devour many of
China's economic gains. While China manufactured low-technology
items, it was dependent on other countries for its
high-technology needs. Additionally, China's consumption of
energy and raw materials per unit of production far exceeded
that of developed world and was not sustainable, she said. If
China did not develop its own human resources, China would
continue to be only the manufacturing base for the rest of the
world.
¶4. (U) According to Zhang, in major industries, such as the
petroleum and electronics industries, China was dependent on
imported technology for 75-80 percent of its needs. She said
that China needed to learn to innovate to create its own core
technologies. She said that China needed to "digest
technologies from other countries" before it could "re-innovate
these technologies for other purposes." China needed to
generously fund its own scientists to insure its "leap-frog in
development." She also criticized the "longstanding planned
economy mindset" in China that meant that companies were too
passive -- not taking on risks or investing in the future. As a
result, she said, these companies were not positioned for
success, and China lagged behind. Zhang's speech was widely
quoted and referred to by other government speakers during the
course of the weekend conference.
SHANGHAI 00007085 002 OF 004
What is Innovation?
¶5. (SBU) When asked how the Chinese government defined
"self-innovation," National Bureau of Statistics (NBS) China
National Research Association Secretary General Zhang Zhongliang
said: "China is a big country, but it has no power. China needs
to import 90 percent of its technology. China needs to develop
its own name-brands and self-proprietary technology so that it
can build a strong economy. To be a strong country, China needs
to develop its own innovative abilities."
¶6. (U) In his talk, Development Research Center of the State
Council (DRC) Deputy Director Liu Shijin outlined what was meant
by self-innovation. He said that the three kinds of innovation
are prime innovation, re-innovation, and the integration of
innovation from abroad into China. Liu said that foreign
companies with investments or joint ventures in China had
expressed their concern with China's emphasis on self-innovation
and begun to limit their investment in innovative areas. He
tried to put them at ease by explaining that any innovation done
in China by foreign companies located here was actually "Chinese
self-innovation" because ultimately these companies would
contribute to the building of China and its capabilities.
Ministry of Commerce Vice Minister Shang Ming was more explicit
when he said, "Self-innovation does not rule out the importation
of innovative technologies from abroad."
Requirements for Innovation - IPR and Financial Reforms
¶7. (U) Multiple speakers from Microsoft Chief Research and
Strategy Officer Craig Mundie to Peking University Guanghua
School of Management Dean Zhang Weiying emphasized China's need
to create an environment that would allow innovators to be
financially rewarded for the risks they took to innovate. They
cited the need for real intellectual property rights to protect
innovation and a competitive financial sector that fostered
"innovations" such as venture capital and other mechanisms for
the efficient distribution of financial resources.
¶8. (U) People's Bank of China Vice Governor Su Ning said that
due to increased global competition, China needed to tear down
restrictions in the financial sector. He said that Chinese
banks needed to reform and innovate in order to increase their
margins of profitability. He also said that China needed to
reform its regulatory framework to allow for financial products
such as bonds, funds, options and other ways to diversify
financial risk. He stressed that China needed a unified credit
database to enable efficient access to financing.
¶9. (U) Shanghai Stock Exchange (SSE) President Zhu Congjiu noted
that while there was 30 trillion RMB (about USD 3.8 trillion)
worth of capital available in China, Chinese companies had a
"weak capability to engage in venture capital." He said this
SHANGHAI 00007085 003 OF 004
was why quality companies chose to go public abroad, rather than
in China. It also meant, he added, that 83 percent of all
venture capital in China was from foreign sources. According to
Zhu, the SSE planned to make the reforms necessary to keep
Chinese companies in China by creating an environment where they
would have access to the capital they needed domestically. In
response to a question, Zhu admitted that for the financial
sector, "innovation" actually meant reforming the Chinese system
to be more like the international financial market standard.
Innovative Translation -- Some Words Left Unsaid
¶10. (SBU) The conference theme as translated in English was
"Innovation and China Economic Growth." In Chinese, however,
the title was "Self-Innovation (Zizhu Chuangxin) and China
Economic Growth." Chinese government speakers all used the word
"self-innovation," but the translators uniformly translated it
as "innovation." Conference speaker European Union Economics
and Regional Officer Leila Fernandez-Stembridge noted to Econoff
that this appeared to be an intentional "mistranslation." Price
Waterhouse Coopers Senior Advisor Kenneth DeWoskin, another
conference speaker, speculated that a political decision had
been made to de-emphasize the Chinese-centric focus on "self" in
an attempt to soften the tone of the conference.
When Innovation Means Using an Airbrush
¶11. (SBU) DeWoskin noted to Econoff that the "palpable unspoken
undercurrent" had been the sacking of NBS head Qiu Xiaohua eight
days before the conference in connection with the Shanghai
pension corruption scandal. No mention of Qiu was made
publicly, even when Xie was introduced as only having been on
the job for a week. An NBS employee who helped organize the
conference materials told Econoff about the "huge amount of
work" that he had to re-do in replacing Qiu Xiaohua's
information and name with that of new leader Xie Fuzhen in all
of the many professionally produced bound conference materials.
An NBS press officer commented that his office had been given no
notice of the sacking and been inundated with "questions we
cannot answer."
Challenges Facing Innovation in China
¶12. (SBU) Sixteen non-governmental speakers at the conference,
including Sun Microsystems Vice President Piper Cole, GE China
Technology Center Managing Director Bijan Dorri, and The
Conference Board Executive Vice President Gail Fosler, China
were tasked with outlining how China could create and nurture an
environment that led to innovative people and companies. These
speakers described several challenges that China faced to its
SHANGHAI 00007085 004 OF 004
drive for self-innovation, including:
greatly hampered in a closed system.
innovations in a way that would limit its global reach. By
creating a "China standard" different from global standards,
China would shut itself out of competition.
to protect those who had taken risk.
would support venture capital in order to reward risk takers.
acceptable. If the price of failure was too high, no one would
take any risks.
foster interest in math and science.
¶13. (SBU) Chinese government speakers appeared receptive and
largely agreed to the above list of prescriptions. However,
they tended to stress the importance of Chinese brands and
standards being the mark of Chinese innovation. As one speaker
commented, "We hope that the day will come when the label does
not read 'Made in China' but 'Created in China.'"
¶14. (SBU) Comment: Innovation -- or self-innovation -- has
clearly been identified as the next necessary step in China's
economic development strategy. While the mission is clear,
China still faces enormous systemic economic, legal, educational
and social barriers to create an innovation-friendly environment.
JARRETT
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E.O. 12958: N/A
TAGS: ECIN [Economic Integration and Cooperation],
ECPS [Communications and Postal Systems], EINT [Economic and Commercial Internet], MARR [Military and Defense Arrangements],
MCAP [Military Capabilities], PREL [External Political Relations],
XF [Middle East]
SUBJECT: GULF REGION COMMUNICATIONS CONFERENCE 2010 UPDATE
REF: 09 STATE 122229
¶1. This is an action request. See paragraph 6.
¶2. SUMMARY. Reftel announced a by-invitation-only Gulf Region
Communications Conference (GRCC) in Amman, Jordan, 21-23
February 2010, co-hosted by United States Central Command
(USCENTCOM) and the Jordanian Armed Forces (JAF). Reftel
requested posts deliver a hold-the-date request to regional
civilian and/or government attendees pending release of
formal invitations. A separate notification was distributed
to military attendees through military channels. On 4
February 2010, USCENTCOM forwarded to posts, in care of the
security assistance offices, hard copy and electronic
versions of the formal GRCC invitations, along with RSVP
registration information and conference agenda, for delivery
to attendees. Invitations are co-signed by Commander,
USCENTCOM and by Chairman of the Joint Chiefs of Staff, JAF.
This cable requests posts deliver invitations and an update
notification to regional civilian and/or government attendees
to further highlight the conference and encourage
participation. In order to ensure timely delivery of
invitations, please deliver update notifications based on
receipt of, and in conjunction with, the electronic
invitations, and forward hard copy versions when they arrive.
Draft update notification language is provided in paragraph
¶6. END SUMMARY
¶3. For reference, the following is the text for USCENTCOM's
half of the formal joint invitation.
Dear Mr. Communications Minister,
On behalf of United States Central Command, I am pleased to
invite you to attend the 2010 Gulf Region Communications
Conference in Amman, Jordan during 21-23 February 2010.
The conference follows last year's inaugural conference in
Bahrain. Again, our intent is to gather regional
communications representatives to collaborate on topics of
mutual interest in a Regional forum. Ministers of
communications, communications regulatory commissioners, and
senior military communicators from each of eleven Gulf Region
states are invited to participate. Also, senior United
States communications representatives from the federal,
military, and private sectors are invited. Regional private
sector representatives will also be invited.
Conference participants will be able to address regional
communications capabilities and concerns and discuss
opportunities to support regional stability and security
efforts. The enclosed conference agenda is provided for your
information.
We would be honored to have you join us. Mr. John Simpson,
the Central Command point of contact (813-827-3931,
simpsoja@centcom.mil), will accept replies. A detailed
conference information packet will be sent separately.
With warm regards,
DAVID H. PETRAEUS
General, U.S. Army
Commander,
United States Central Command
¶4. Also for reference, the following is the text for JAF's
half of the formal joint invitation.
Dear Honorable Minister,
On behalf of the Hashemite Kingdom of Jordan, I am pleased to
invite you to attend the 2010 Gulf Region Communications
Conference (GRCC) in Amman, Jordan during 21-23 February 2010.
We believe last year's conference in Bahrain was a great
success, and we are looking forward to hosting distinguished
communicators within the Kingdom of Jordan.
This next GRCC will enable us, as partners, to continue our
examination and discussion of the Region's most significant
communications concerns. We are hopeful that this forum and
its actions will lead to improved capabilities, stability,
and security within the Gulf Nations and across the Region.
Communications ministers and regulatory commissioners, and
senior military communicators from each of eleven Gulf Region
states are invited to participate. Also, senior United States
communications representatives from the federal, military,
and private sectors are invited. Representatives of the Gulf
Region's private sector will also be invited. The enclosed
conference agenda is provided for your information.
We would be honored to have you join us in the Hashemite
Kingdom of Jordan.
With utmost respect,
General
Khaled J. Al-Sarayreh
Chairman Of The Joint Chiefs Of Staff
Jordan Armed Forces
¶5. The agenda's structure and content reflect extensive
collaboration with JAF, including integration of
JAF-recommended panel discussions. Each participating nation
will be given one speaking part (seat) on each panel and one
speaking part (five minute presentation) during closing
remarks. All attendees will be invited to participate in
roundtable discussions. For reference, the GRCC Agenda
follows:
21-23 February 2010
Grand Hyatt Hotel
Amman, Hashemite Kingdom of Jordan
Sunday, 21 February
Arrival of conference participants and registration at Grand
Hyatt Hotel, Amman, Jordan, Telephone: 962-6-456-1234
1830-2000
RECEPTION (Hotel Location TBD) - For ministers and
distinguished visitors (DVs)
HOST: U.S. Central Command (USCENTCOM)
ATTIRE/GENTLEMEN: Business/National Dress
ATTIRE/LADIES: Business (dress, pants outfit)/National Dress
Monday, 22 February
ATTIRE/GENTLEMEN: Business/National Dress/Class A Uniform
ATTIRE/LADIES: Business (dress, pants outfit)/National
Dress/Class A Uniform
0800-0850
NO-HOST BREAKFAST
0900-0905
CONFERENCE WELCOME (Hotel Grand Ballroom) - Brigadier General
Ghazi Salem Salman al-Jobor, Director of the Special
Communications Commission, Jordan Ministry of Defense
0905-0910
TRANSLATION EQUIPMENT FAMILIARIZATION
0910-0930
CONFERENCE OPENING REMARKS - USCENTCOM and Kingdom of Jordan
Representatives (TBD)
0930-1000
PRESENTATION 1 - His Excellency Marwan Juma, Jordan Minister
of Information and Communications Technology
TOPIC: Sector Policy--Mobile Communications, Fixed Services,
and Regional Connectivity
1000-1030
PRESENTATION 2 - Jordan Telecommunications Regulatory
Commission
TOPIC: Regulation of Telecommunications
1030-1045
BREAK
1045-1145
PRESENTATION 3 - Mr. Craig Mundie, Chief Research and
Strategy Officer, Microsoft Corporation, United States
TOPIC: Cloud Computing
1145-1245
PANEL DISCUSSION 1 - Industry/Government Representatives
TOPIC: Implementing Cloud Computing Solutions to
Information Exchange Challenges
1245-1345
LUNCH (Hotel Restaurant TBD) - For ministers and DVs
HOST: Jordan Ministry of Information and Communications
Technology
1400-1415
GROUP PHOTO SESSION (Hotel Location TBD)
1415-1515
ROUNDTABLE 1 - Roundtable Moderator, TBD
TOPIC: Policy and Regulation Perspective--Improving
Telecommunications across the Region and across the
Commercial, Government, and Military Sectors
1515-1535
PRESENTATION 4A - Brigadier General Ghazi Salem Salman
al-Jobor, Jordan Ministry of Defense
TOPIC: Mobile Communications in Support of Relief Operations
1535-1555
PRESENTATION 4B - Brigadier General Mowafaq Assaf, Royal
Jordanian Air Force
TOPIC: Fiber Infrastructure in Support of Government and
Civilian Agencies
1555-1655
PANEL DISCUSSION 2 - Military Communicators
TOPIC: Mobile, Fixed, and Fiber Communications
1655-1830
FREE TIME
1830-1900
COCKTAILS (Hotel Location TBD) - For ministers and DVs
HOST: USCENTCOM
ATTIRE/GENTLEMEN: Business/National Dress
ATTIRE/LADIES: Business (dress, pants outfit)/National Dress
1900-2100
DINNER (Hotel Location TBD) - For ministers and DVs
HOST: Jordan Telecommunications Regulatory Commission
ATTIRE/GENTLEMEN: Business/National Dress
ATTIRE/LADIES: Business (dress, pants outfit)/National Dress
Tuesday, 23 February
ATTIRE/GENTLEMEN: Business/National Dress/Class A Uniform
ATTIRE/LADIES: Business (dress, pants outfit)/National
Dress/Class A Uniform
0800-0850
NO-HOST BREAKFAST
0900-0915
ADMINISTRATIVE REMARKS (Hotel Grand Ballroom) - Brigadier
General Ghazi
0915-0945
PRESENTATION 5 - Lieutenant General Carroll F. Pollett,
United States Army, Director, Defense Information Systems
Agency
TOPIC: Synchronizing Commercial, Government, and Military
Communications Priorities in the United States
0945-1015
PRESENTATION 6 - Mr Sami Smeirat, Chief Executive Officer,
Orange Company, Jordan
TOPIC: Regional Reach
1015-1030
BREAK
1030-1130
ROUNDTABLE 2 - Roundtable Moderator
TOPIC: Synchronizing Wireless Challenges and Potential
Solutions
1130-1200
PRESENTATION 7 - Mr. Nidal Qanadilo, Investment Manager,
Jordan Ministry of Information and Communications Technology
TOPIC: Fiber Communications in Support of E-learning,
E-government, and Rural Areas
1200-1300
LUNCH (Hotel Restaurant TBD) - For ministers and DVs
HOST: USCENTCOM
1345-1415
ROUNDTABLE 3 - Roundtable Moderator
TOPIC: Regional Fiber Backbone Solutions to Civilian,
Government and Military Challenges
1415-1445
ROUNDTABLE 4 - Brigadier General Donahue, Roundtable Moderator
TOPIC: 2010 Conference Action Items and 2011 Conference
Theme and Topics
1445-1500
BREAK
COUNTRY REMARKS
1500-1510, Kingdom of Bahrain
1510-1520, Arab Republic of Egypt
1520-1530, Republic of Iraq
1530-1540, State of Kuwait
1540-1550, Republic of Lebanon
1550-1600, Sultanate of Oman
1600-1610, State of Qatar
1610-1620, Kingdom of Saudi Arabia
1620-1630, United Arab Emirates
1630-1640, Republic of Yemen
1640-1700
CLOSING REMARKS - USCENTCOM and Jordan Representatives TBD
1700
CONFERENCE CONCLUDES
¶6. Action Request: Washington agencies request posts ensure
delivery of invitations and deliver the following update
notification regarding GRCC 2010 to the appropriate regional
civilian and/or government attendees by 8 February 2010.
Please notify the USCENTCOM and State POCs in paragraph 7 on
completion of action by 10 February 2010. Email replies are
acceptable.
Dear (Embassies, please address invitations to appropriate
individuals listed),
ABU DHABI:
-- His Excellency Muhammad bin Ahmad Alqamzi, Chairman
Telecommunications Regulatory Authority
-- His Excellency Mohamed Nassar Al Ghanim, Director General
and Board Member Telecommunications Regulatory Authority
BAGHDAD:
-- His Excellency Farooq Abdulqadir Abdulrahman, Minister of
Communications
-- Barhan Shawi Al-Tamimi, DG, Communications & Media
Commission
-- His Excellency Mazin Hashim Al-Haboubi, CEO Deputy for
Administrative Affairs
BEIRUT:
-- His Excellency Mr. Charbel Nahas, Minister of
Telecommunications
-- Dr. Kamal S. Shehadi, Chairman & Chief Executive Officer
of Telecommunications Regulatory Agency
CAIRO:
-- His Excellency Dr. Tarek Kamel, Minister of Communications
and Information Technology
-- Dr. Amr Badawy, Executive President of National
Telecommunications Regulatory Authority
DOHA:
-- His Excellency Dr. Hessa Al-Jaber, Secretary General
Supreme Council of Information & Communications Technology
-- Mister William Fagan, Director, Supreme Council of
Information & Communications Technology
KUWAIT:
-- Dr. Mohammed Mohsen Al-Busairi, Minister of Communications
MANAMA:
-- Dr. Mohammed Al Amer, Chairman and Acting General
Director, Telecommunications Regulatory Authority
MUSCAT:
-- His Excellency Dr. Khamis bin Mubarak al Alawi, Minister
of Transportation and Communications
-- His Excellency Mohammed Nasser Al-Khusaibi, Chairman,
Telecommunications Regulatory Authority
RIYADH:
-- Mister Mohammed Jameel bin Ahmed Mulla, Minister of
Communications and Information Technology
-- Dr. Abdulrahman Al-Jafari, Governor Communications and
Information Technology Commission
SANAA:
-- His Excellency Kamal Al-Jabri, Minister of
Telecommunications & Information Technology
United States Central Command and the Jordanian Armed Forces
will co-host the by-invitation-only Gulf Region
Communications Conference (GRCC) 2010 in Amman, Jordan on
21-23 February 2010. Formal invitations have been distributed
to you separately along with details regarding RSVPs and
registration and the conference agenda. GRCC 2010 will
continue GRCC 2009 multilateral engagement on regional
telecommunications and information sharing capabilities and
will foster cooperation among our respective entities in
order to overcome challenges, to include crisis response
and/or disaster relief missions.
GRCC 2010 presentations and discussions support a theme of
Synchronizing Commercial, Government and Military
Communications Priorities. GRCC 2010 adds panel discussions
to the GRCC 2009 conference format of presentations and
roundtables. Each nation attending the conference will be
given one seat for a national representative on each panel.
As with GRCC 2009, roundtable discussions will be open to
participation by all attendees. Each nation attending the
conference will also be given five minutes for one national
representative to present closing remarks. Please identify to
the conference co-hosts as soon as possible those individuals
who will represent (post, please insert here your nation) on
each panel and present closing remarks.
I encourage you to attend the conference.
Sincerely,
(DoS originator name)
(DoS originator title)
U.S. Department of State
¶7. CENTCOM point of contact for the conference:
Jim Ramirez DAFC
U.S. Central Command
Deputy, Strategic C4 Architecture Programs and Policy
Division
State Department points of contact for the conference:
COL Dave Huggins
Senior Military Advisor, Near Eastern Affairs Bureau
Steve Simpson
Communications and Information Policy / Middle East
Energy, Economic, and Business Affairs
CLINTON
Yes, that latter cable is signed by Clinton. Interestingly enough, Mundie is doing politics. █
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