05.24.09

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Microsoft Blackmails China and Then Fires 300 Chinese Employees

Posted in Asia, Finance, Fraud at 4:26 am by Dr. Roy Schestowitz

Grand Hyatt

Summary: Microsoft struggles to convince people to pay for software, then resorts to extortion and lays off many more employees

Last week we wrote about Microsoft's blackmail in China. This allegation seemed bold at the time, but it is now concurred by an independent source that says (in the headline): “Microsoft fights Chinese software piracy with blackmail”

To say software piracy and the use of counterfeit versions of Windows operating systems and products is rife in China is an understatement of colossal proportions. How can Microsoft tackle this problem, which is harming its business in the important emerging market of Asia? Blackmail.

As ruthless and potentially illegal as it, previously we showed that Microsoft had prioritised layoffs where labour is expensive. Nonetheless, it has just been announced that Microsoft is laying off 300 Chinese workers.

In detail, the company slashed over 300 employees in the mainland and ten employees or so in Taiwan. Most of the employees were for the MCS, EPG, as well as Windows Live divisions, pointed out an overseas report, adding that some executives were also laid off.

This was also covered in:

Microsoft is letting many people go and it may be a clear indication of financial difficulties.

“It’s easier for our software to compete with Linux when there’s piracy than when there’s not.”

Bill Gates

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3 Comments

  1. Chips B Malroy said,

    May 24, 2009 at 10:40 am

    Gravatar

    China is a drain on Microsoft’s resources, they are never going make anything there, just lose money. Gates plan to make money in Ten Years is short cited as well. In ten years time, should MS continue to turn out products like Vista (think 7even/vistaSP3) they will be replaced on the desktop. But I doubt that in ten years time the average computer users in China can afford to pay Bill the price he asks for Windows. Perhaps they are starting to see that now, and that is another reason for the 300 MS employees being laid off in China.

  2. gao said,

    May 24, 2009 at 12:11 pm

    Gravatar

    and he took the nice ” piracy before legit-version ” trick only to find himself not in the same pants with the Chinese gov.

  3. Cruvic said,

    May 25, 2009 at 8:15 am

    Gravatar

    Why is it that one hardly finds any news on China’s layoffs or retrenchment? Does the government have some sort of law that they are not allowed to announce news of job loss.

    Like this post, the news always seems to be large corporate giants that are firing staff. There must be many thousands of companies in mainland China laying off staff.

    We need to hear about them.

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