"westprog" <westprog@hotmail.com> wrote in message
news:gt%pd.42733$Z14.18278@news.indigo.ie...
>
> "Adam Whyte-Settlar" <grawillers@hotmail.com> wrote in message
> news:xFSpd.7672$3U4.232043@news02.tsnz.net...
.
> > >
> > > Where are they going to get their computers from?
> >
> > Matsushita, Sony, and Samsung apparently.
> > These companies are transfering production wholesale to China according
to
> > some business paper I was skimming the other day.

> > presumably they will learn to make their own computers too.
>
> It's Not That Easy. The Japanese haven't cracked the microprocessor market
> yet, even though everyone expected it.

You have a point re: CPU's but the Chinese already make just about
everything else.
Their government 'encourages' the use of Chinese character linux OS's rather
than Microsoft's jittery **** too.

I just found this - I think it's a bit out of date but the trend is clear
and pretty much what one would expect from those whily Chinese.

" Prior to 1990 the Chinese government protected the domestic PC industry,
but as
quotas on imported PCs were lifted and tariffs were reduced foreign
computers
began flooding the market. Due to a lack of local brands, foreign brands
dominated the market in the early 90's. The situation has reversed, and
currently the top computer companies are Legend Computer and Founder
Computer--local firms that together comprise almost half the PC market
share.

Legend Group is the leader in China's computer market with 37.88% share. In
2000, Legend's PC sales grew by 96% to 2.1 million, surpassing strong
American
brands including IBM and Compaq. The Beijing-based firm began its operations
as a distributor for HP products, Toshiba notebooks, and Hayes modems. They
later developed mainframes and then entered the PC market with their strong
distribution channels. Legend sells computers of relatively good quality at
low prices, with after-sales services not available with non-branded PCs.

Legend also holds the largest share of the notebook market, surpassing
Toshiba,
the previous long-running leader in notebook sales and consumer preference.

Many leading domestic computer companies started business as joint venture
partners with foreign companies. Learning from those partnerships, these
companies began producing and manufacturing computers under their own brand
names. This is a common risk when firms enter joint ventures in any country.
[Especially in China IMO]

Legend emerged as the dominant PC company in 1997. Legend was the first to
offer computers at prices below $1,000. This started a price war that caused
computer prices to plummet, boosting sales and accelerating the development
of
the computer market. In 1997, Chinese computer manufacturers were able to
release new models the same day Intel introduced their latest CPU chip.
China's computer market is playing catch-up with developed computer markets,
and consumers are now able to enjoy cutting-edge technology.

Price is a major concern for the Chinese consumer. The IMI Consumer Behavior
and Life Patterns Yearbook 2000 contains a survey showing consumers in
Beijing,
Shanghai, and Guangzhou paying an average of $625-965 for their PCs.

A development worth noting is the rise of non-branded PCs. Zhongguancun,
dubbed the "Silicon Valley of China," is a popular place for finding
non-branded PC parts. College students in this area piece together their own
computers at substantial savings. A Pentium 3 computer with monitor,
keyboard,
mouse and ethernet card can be constructed for about $600.

http://strategis.ic.gc.ca/epic/internet/inimr-ri.nsf/en/gr-75269e.html

>
> What you can expect to see are FABs from Intel, Texas Instruments, AMD etc
> being set up in China when they get the infrastructure right.

Too late chum.
A W-S