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Home Technology

How China the copycat became a tech giant to rival the USA

Donna Gilbert by Donna Gilbert
January 23, 2025
in Technology
0
How China the copycat became a tech giant to rival the USA

When Matthew Scott was transferred to China to work as an engineer at Microsoft in 2006, he had no idea there might be an opportunity to build his start-up there.

But, eschewing conventional innovation hub Silicon Valley, the American stayed on in China and is today the co-founder of an artificial intelligence start-up.
“China’s a first-rate vicinity to do A.I.,” said the 37-year-old chief technology officer of Malone Technologies in Shenzhen, the southern Chinese metropolis aiming to outdo Silicon Valley.

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“(Shenzhen) is one of the best locations to do hardware. And I have the network, and it felt like the right element.”
Once known as a cheap area to make copycat devices, the metropolis has converted into a tech hub that can do what Silicon Valley cannot: Combine innovation and entrepreneurship with production.

Tech employees like Scott say this isn’t the only way China is putting an example for the sector.

“Everyone doing A.I. could’ve used the Chinese era. Without Chinese A.I., we wouldn’t be this far superior,” he advised the program Insight. “China isn’t just sucking in innovation from the rest of the arena; true innovation is being published in China.” (Watch the episode here.)
The rise of China’s high-tech prowess is one of the motives it is miles locked in change warfare with America, and the technology zone is one of the most critical sticking points.

But for the long term, the U.S. was perceived as a copycat. We talked about Edward Tse, the founder and chief government of the world strategy and control consultancy Gao Feng Advisory Company.
“China started to research — to expand — while it regarded that the outdoor international was so special,” he said. “So the first step changed seeing what was available out of doors in China and copying it.”

The country found “lots of room for innovation” along the way. “It took them about a decade or so that you can transition from a copycat nation to now, I think for the majority, a quite progressive country,” he added.
In 2015, Beijing announced the Made in China 2025 strategy to show China as the sector’s fundamental manufacturing unit for manufactured goods into a high-tech powerhouse.

Part of the method involved working with private traders to buy tech firms in foreign places, many of which ended up within the U.S.
Chinese investments in U.S. tech start-ups rose from US$2.3 billion (S$3.11 billion) in 2014 to nearly US$10 billion in 2015—more than fourfold growth. This soon led to accusations that China had entered a stealing era and jeopardized countrywide protection.

But Made in China 2025 isn’t always just strategic investments overseas; the plan also targets transporting the United States up the cost chain in manufacturing, making matters domestic and making them better than everyone else.

ELECTRIC VEHICLE HUB
In one of the Made in China 2025 goal industries, the U.S.A. has raced far ahead of everyone else.
As a sleepy fishing village and the poster child for China’s start-ups, Shenzhen has become the first town in the world to have 100 consistent an electric-powered bus fleet despite being past due within the day.

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