back to article Chinese IT spending with western firms goes OVER A CLIFF

US tech companies report big trouble in China, despite official data claiming strong growth in the middle kingdom. The official data has growth ticking along at 7 per cent per annum. While that's at the low end of what Beijing wants, it was still welcomed by articles like this one, in state-owned organ Xinhua, explaining “The …

  1. Anonymous Coward
    Anonymous Coward

    Apple spending not really "IT spending"

    It would more properly be categorized CE spending, since Apple gets the bulk of its revenue from consumer sales. The quarterly drop for Apple is easily explained Chinese New Year falling in the previous quarter rather than this quarter - an important date for consumer sales, but not for enterprise spending (probably would actually hurt enterprise spending in that quarter, as many people take the week off)

    Though obviously if the economy in China really takes a tumble and people quit getting 30% raises every year and feeling rich, the spending on iPhones will take a serious hit.

  2. oneeye

    tech companies gave away the cow, now can't sell milk?

    I'm not surprised. In agreeing to giveup proprietary information,the Chinese government will simply start new Chinese companies that take away the business of foreigners. That way,they can have their cake and eat it too! Have a glass of milk on me! Greed much?

    And yes,I recognize that the Chinese economy has slowed up,largely due to their stock market nose diving no doubt,and the world economic situation at large. But look at Qualcomm. First raked over the coals,then extorted,and now they are cutting,cutting,cutting. There will be others in time.

  3. Anonymous Coward
    Anonymous Coward

    The Chinese have it right

    Any country should do the same, not like in Canada where the Conservatives seem hell bent on giving the country away, largely to the Chinese government.

    1. Gray
      Windows

      Re: The Chinese have it right

      Sorry, but Canada was Number Two ... right behind us in the US. We were Number One in line, selling out to China. (Still can't find a single damn thing in WalMart that's "Made in USA"!) So we'll be shedding no tears for US firms losing sales in China. I do have to wonder, however, how that FoxConn thing ... moving to India ... will work out in the long run. Maybe China can lock the borders and refuse to let them leave?

  4. Anonymous Coward
    Anonymous Coward

    Manufacturing...

    Turns out that physically building stuff is the hard bit. Given that all the computers are already built in China, remind me again what value would be added by paying these western companies?

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