VZCZCXRO2398
OO RUEHCN RUEHGH RUEHVC
DE RUEHBJ #2360/01 2260840
ZNR UUUUU ZZH
O 140840Z AUG 09
FM AMEMBASSY BEIJING
TO RUEHC/SECSTATE WASHDC IMMEDIATE 5668
INFO RUEHOO/CHINA POSTS COLLECTIVE
RUEHIN/AIT TAIPEI 7370
RUEHKO/AMEMBASSY TOKYO 0017
RUEHUL/AMEMBASSY SEOUL 1336
RUEHGV/USMISSION GENEVA 2529
RUEAHLC/DHS WASHDC
RUCPDOC/USDOC WASHDC
RUEAWJA/DEPT OF JUSTICE WASHDC
RHMCSUU/FBI WASHINGTON DC

UNCLAS SECTION 01 OF 02 BEIJING 002360 
 
SENSITIVE 
SIPDIS 
 
State for EAP/CM - SFlatt, JHabjan 
State for EEB/CIP - SFlynn, FSaeed 
USTR for Awinter, JMcHale, TWineland, AMain 
Commerce for MAC 
Commerce for ITA - IKasoff, NMelcher 
DOJ for CCIPS - MDubose and SChemtob 
FBI for LBryant 
State for White House OSTP Ambassador Richard Russell 
NSC for Melissa Hathaway 
 
E.O. 12958: N/A 
TAGS: ETRD PGOV PHUM SOCI SCUL ECON CH
SUBJECT: CHINA OFFICIALLY "UNINSTALLS" GREEN DAM INTERNET 
CENSORING SOFTWARE REQUIREMENTS. . . FOR NOW 
 
Reftels:  BEIJING 1538 
       BEIJING 1520 
 
SENSITIVE BUT UNCLASSIFIED - PLEASE HANDLE ACCORDINGLY. 
 
¶1. (SBU) Summary.  Ministry of Industry and Information Technology 
(MIIT) Minister Li announced August 13 computers sold in China would 
not be subject to mandatory internet censorship software 
requirements.  The remarks represent the highest level signal to 
date that the Chinese government has officially abandoned earlier 
plans requiring all computers sold in China to include 
Chinese-produced "Green Dam" internet filtering software.  Industry 
representatives, while viewing the announcement as positive, remain 
skeptical of the Chinese government's longer-term plans and do not 
rule out the later re-imposition of similar controls in one form or 
another.  End summary. 
 
¶2. (SBU) MIIT Minister Li Yizhong, at an August 13 press conference, 
announced that China "as to the majority of consumers, [would] fully 
respect freedom of choice; we will not mandatorily install [Green 
Dam] software on all computers in the market."  Minister Li noted, 
however, that Green Dam would continue to be installed on computers 
in schools, internet cafes, and other public places. 
 
¶3. (SBU) Li attempted to backpedal gracefully, explaining that 
MIIT's original May 22, 2009 circular had mischaracterized MIIT's 
actual (and current) position.  (Note: MIIT initially, had mandated 
that all computers sold in China, whether imported or 
domestically-produced, include pre-installed Chinese-produced Green 
Dam filtering software effective July 1, 2009.  See reftels.  End 
Note.)  Industry and popular backlash quickly followed, along with 
interventions by foreign governments, including the U.S., prompting 
MIIT to announce June 30 that it was "delaying" indefinitely the 
implementation of the Green Dam software requirement. 
 
¶4. (SBU) MIIT's deferred implementation has now become an effective 
reversal of its prior mandate, though Minister Li suggested MIIT's 
next steps would involve soliciting a wide range of views regarding 
implementation of such software where it is required, i.e., schools, 
internet cafes, and other public computers. 
 
Industry Reaction Mixed 
----------------------- 
¶5. (SBU) Local U.S. Information and Technology Office (USITO) 
analyst Wen Jie expressed continued skepticism over the Chinese 
government's longer term plans regarding such software.  He observed 
that the fact Minister Li emphasized "consumer choice" could still 
leave the door open to impose requirements upon manufacturers to 
offer such software on computers sold in China (whether activated or 
not).  Wen Jie noted many details of the plan remain unclear, but 
added, at the very least, MIIT's formal August 13 statement is 
useful precedent in any subsequent battles industry and consumers 
may undertake relating to this issue. 
 
¶6. (SBU) Dell Computer's local senior manager, Ryan Zhang, suggested 
a policy reversal could come as early as within six months.  Zhang 
expressed similar skepticism over how definitive Minister's Li's 
statement really is, given his emphasis on offering "consumer" 
choice (not/not on manufacturer's businQs decisions to pre-install 
software or co-package).  Zhang suggested MIIT and other Chinese 
government policymakers could still decide to make censorship 
software mandatory, but handle the public relations more carefully. 
 
¶7. (SBU) Another local information technology analyst echoed 
concerns regarding China's moving target on censorship software, 
especially industry concerns over ambiguities regarding acceptable 
distribution methods and cost-bearing, which are still unclear 
following MIIT's announcements.  The analyst noted some computer 
manufacturers, including Chinese producers Acer and Lenovo, have 
complied with MIIT's original mandate to pre-install Green Dam on 
all computers sold in China.  Apple Computer local government 
relations representative told us that although Apple received an 
 
BEIJING 00002360  002 OF 002 
 
 
early waiver from MIIT (Green Dam reportedly is incompatible with 
Apple operating system), Apple nonetheless is seeking approval of 
its existing parental control applications for its computers used 
here in the education field. 
 
¶8. (SBU) Comment.  Post views MIIT's latest announcement as 
confirmation of China's decision to defer (for now) imposing 
internet censorship software on Chinese computer consumers.  This 
significantly reduces the immediate associated difficulties for 
manufacturers.  Though they remain cautious about declaring final 
victory, industry representatives clearly feel emboldened by having 
convinced China to reverse its policy course.  Industry and the 
growing (and likely a vocal chorus of Chinese "netizens") stand 
ready to re-engage should China seek to revisit internet censorship 
mandates any time soon.  Embassy will also continue to monitor the 
issue closely.  End comment. 
 
GOLDBERG