Bonum Certa Men Certa

Cablegate: When Steve Ballmer Met President Bouteflika in Algeria

Cablegate



Abdelaziz Buteflika



Summary: A cable explaining Microsoft's affairs with the Algerian government

THE FOLLOWING Cablegate cable is from almost 4 years ago and it helps complete this other insulting cable from in Algeria.








VZCZCXRO2537 RR RUEHTRO DE RUEHAS #1581/01 3030607 ZNR UUUUU ZZH R 300607Z OCT 07 FM AMEMBASSY ALGIERS TO RUEHC/SECSTATE WASHDC 4760 INFO RUEHFR/AMEMBASSY PARIS 2384 RUEHLO/AMEMBASSY LONDON 1738 RUEHMD/AMEMBASSY MADRID 8660 RUEHRB/AMEMBASSY RABAT 1990 RUEHTU/AMEMBASSY TUNIS 6841 RUEHTRO/AMEMBASSY TRIPOLI RUEHNK/AMEMBASSY NOUAKCHOTT 6077 RUEHNM/AMEMBASSY NIAMEY 1332 RUEHBP/AMEMBASSY BAMAKO 0280 RUEHCL/AMCONSUL CASABLANCA 3105 RUCPDOC/DEPT OF COMMERCE WASHDC

UNCLAS SECTION 01 OF 02 ALGIERS 001581

SIPDIS

SENSITIVE SIPDIS

E.O. 12958: N/A TAGS: ECON [Economic Conditions], EINV [Foreign Investments], ETRD [Foreign Trade], KIPR [Intellectual Property Rights], AG [Algeria]

SUBJECT: (MICRO)SOFT DIPLOMACY, VERSION 1.0

€¶1. (U) SUMMARY: Microsoft CEO Steve Ballmer paid a brief visit to Algeria in a trip touted as an opportunity for Microsoft to help the GOA expand Algeria's information and communications technology (ICT) sector and enhance its education system. Ballmer said he was inspired by the GOA's commitment to technology development and by the potential for market growth in Algeria. ICT insiders suggested that the CEO visited Algeria in an effort to enhance Microsoft's government relations, and to signal that its recently reorganized business unit is serious about this market. Meanwhile, firms are optimistic about the ICT sector in Algeria, but are skeptical about whether Microsoft can effectively expand its software marketing here, or expect to make any progress combating piracy. END SUMMARY.

€¶2. (U) In a whirlwind visit on October 3, Ballmer met with President Bouteflika and several ministers to discuss the development of the technology sector in Algeria, the use of IT start-up companies as a means to energize the Algerian economy, and access to computers in Algeria's schools. Ballmer later told a group of Microsoft partner firms that the greatest growth potential for the ICT industry lies in emerging markets like Algeria, where ICT structures can be expanded to tap into significant populations hungry for access to Web-based entertainment and educational services. (Note: 7.3 percent of the Algerian population has access to the Internet, compared to a 0.2 percent penetration rate in 2000, according to recent data compiled by the International Telecommunication Union. End note.) Ballmer said that he came to Algeria to evaluate his local team's recommendations for expansion, which he will consider in early 2008. He told the industry group that he was "inspired by the president's thoughtfulness toward the future," and that he saw potential growth across all economic sectors.

BUT STILL, WHY COME TO ALGERIA? -------------------------------

€¶3. (SBU) Microsoft recently split its regional marketing division and created the Microsoft Algeria business unit. Because of the terrorist activity in Algeria in the 1990s, Microsoft established its North African headquarters in Morocco, which local IT representatives and former Microsoft employees say the GOA never forgave. Ballmer's visit to Algeria appeared timed to show corporate support for the new Algerian unit's government relations efforts, and an attempt to relieve past tensions between the GOA and Microsoft.

HOPE SPRINGS ETERNAL, BUT SO DO CLONES AND PIRATES --------------------------------------------- -----

€¶4. (SBU) Industry representatives told Econoff that they were optimistic about the near-term future of the ICT sector in Algeria. Abdelaziz Ben Aissa, the general manager of a certified Microsoft business solutions firm, said that the GOA seems focused on ICT issues and opportunities are expanding. Ben Aissa's firm provides support services for Northrop Grumman information systems. He works extensively with the Algerian federal police, with whom he expects more contracts to support expanding communications and information systems. Djamal Hadjout, the information services director of an Algerian wholesaler representing a number of leading American computer periphery brands, said business is generally growing and that retailers are finding new customers among both Algerian corporate and individual consumers. He noted that American products continue to be associated with quality and prestige but are considered expensive.

€¶5. (U) IT representatives were at the same time skeptical that Microsoft will be able to raise significantly its stake in the Algerian consumer software market or to combat piracy effectively because of the relatively high price of its products and the continued weakening of Algerians' buying power. They said that most personal computers sold to households are clones assembled in Algeria, and that most people buy pirated copies of operating systems like Windows and other software applications for as little as two dollars. Further, according to recent news reports, electronics represents the second-largest category of goods smuggled into Algeria (after cigarettes), and overall customs seizures of contraband rose significantly throughout 2007. Given Algeria's rising cost of living and high unemployment rate, the ICT representatives saw little hope that Microsoft will be able to counter these IPR challenges anytime soon. Ballmer was asked about this dilemma, but gave only a general response about his company's

ALGIERS 00001581 002 OF 002

commitment to finding innovative solutions to specific markets and his confidence that the GOA will move in a positive direction regarding ICT use and development in Algeria.

€¶6. (SBU) COMMENT: Ballmer's visit, along with the recent creation of Microsoft Algeria, likely went a long way to meeting Microsoft's government relations goals. Some in the business world interpreted President Bouteflika's overt hospitality to a corporate leader as a sign that the GOA is serious about its stated intent to build out Algeria's ICT sector, improve the country's education system through access to technology, and see that every Algerian family has a computer at home. Nonetheless, the challenges of contraband hardware and pirated software remain significant as the high cost of living continues to influence not only consumer decisions regarding brand preference and when to buy, but also the choice between licensed, cloned or pirated goods.

FORD







This is the perspective of US diplomats. They ignore all the critics of these affairs, as one might expect (sometimes, as we have shown before using other cables, critics are comped to "conspiracy theorists").

Recent Techrights' Posts

IBM is "Taking the PIP" (Piss), People 'Retire' 'Voluntarily' to "Focus on Family"
IBM has a billion bucks for 'the butcher', but not a million dollars for critical projects and initiatives in Free software
It Should be Uncontroversial to Say That Social Control Media is a Weapon
Democracy is not compatible with the likes of Kapo-Berg and MElon controlling public discourse of billions
Debian: Plagiarism OK, Just be "Responsible" About It
The result isn't the worst, but it's not good either
Don't Let Them Kill Activism
Are the oligarchs shutting the lid on activism and whistleblowers?
Michael Catanzaro's Latest Blog Post Affirms Rumours of Red Hat Changes and RAs/PIPs at IBM
reading between the lines, IBM is "spitting out" Red Hat staff
 
Links 29/08/2026: Microsoft GitHub Outage (Again), "Displaying Ads Directly on Your Monitor", and "Election Deniers Could Soon Control Elections"
Links for the day
Misuse of Bots (Now Sold as "Agents", "Hey Hi", "Automation", and "Efficiency")
They even try to rebrand robotics as "hey hi" and try to sell slop as "work"
SLAPP Censorship - Part 165 Out of 200: Two Years Since My Wife and I Sued
In early September 2024 we hit back
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Friday, August 28, 2026
IRC logs for Friday, August 28, 2026
Gemini Links 29/08/2026: Death Notice, Systems Biology, and Gopher
Links for the day
Links 28/08/2026: Chatbot Pushers Admit They're Used Heavily for Social Engineering Scams, Strong Backlash Against "Smart Glasses" (CCTV on Legs)
Links for the day
If Linux Was Written in Rust, 80% or More of Linux Developers Would Not Understand It (Same If It's Composed by LLM Slop)
The licence (GPL) is not enough when there are ways to bypass it
Gemini Links 28/08/2026: Absurd Tomodachi Summer, Screen Piggery, and Jugulans 1.0.3 Released
Links for the day
Links 28/08/2026: "UK Power Grid Has a Phantom Data Center Problem" and "Growth at All Costs is Cancer"
Links for the day
SLAPP Censorship - Part 164 Out of 200: Patent Troll SLAPPs, Defamation Trolls, and Stranglers From America
You start to wonder if the core issue is insecurity
Rumours of More PIPs and Layoffs at Confluent Just Months After IBM Bought It
It is meanwhile apparent IBM will have mass layoffs next week (September)
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Thursday, August 27, 2026
IRC logs for Thursday, August 27, 2026
After Many Waves of PIPs (Silent Layoffs) IBM Makes Non-Silent Layoffs, Effective Next Week (September)
What we heard is turning out to be true
Gemini Links 27/08/2026: Oklahoma, Tennessee, Haiku OS, Digital Resistance, and Staying Offline
Links for the day
Links 27/08/2026: Facebook to Pay Up to $17.1 Billion to Cover Up Known Harms, Nepal Landslide Kills Many
Links for the day
The Register MS Has Just Published Paid Spam That Says "AI" 19 Times
1.5 hours ago
Mainstream Media is Paid to Link "AI" Criticism/Boosting to Jeffrey Epstein Enablers, in Effect Showing How Corrupt This Media Became
Many readers will have noticed what was a paid-for PR campaign of a global scale
RSS is King: Why Having Subscribers or Followers in Sites You Neither Own Nor Control is Loss of Autonomy and Search is Mostly Slop (Plagiarising Sites, Not Linking to Them)
Because digital connections in third parties aren't assets; they endow another party with tremendous power over people (e.g. MElon getting to decide who can and cannot reach people or what messages to "dim down")
Claims of Tens of Thousands of 'Silent Layoffs' at IBM (and Red Hat)
Looking at recent activity in thelayoff.com, about 80% of the comments and posts are about PIPs
Links 27/08/2026: "Flock’s CEO Is Lying to Cops" and Microsoft's GitHub Actions Breaks Down Again (Too Many Layoffs, Loss of Knowledge)
Links for the day
Clownflare Sees GNU/Linux and ChromeOS at Over 13% in Bahamas
Narrowing down to desktops and laptops, and judging by Web requests that go through Clownflare, many people there use GNU/Linux or Google's 'bastardised' version of it (with spyware preloaded)
Richard Stallman Complains That Linux Gives a Bad Name to GNU and Asks for Feedback on What's Wrong with Systemd (and Wayland)
Maybe some people want to send him a detailed, polite explanation
GNU/Linux Does Not Need Social Control Media to Succeed
When it comes to Social Control Media, Richard Stallman was right
Increasing Focus on Patent Injustices
We'll soon cover the EPO a lot more
SLAPP Censorship - Part 163 Out of 200: Attack on Computer Science and on Computer Security (or Associating Back Doors and Kill Switches With "Security")
Nowadays there are many who pretend to be security professionals
There's No "Next XBox"
Nothing comes ahead except layoffs and price hikes
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, August 26, 2026
IRC logs for Wednesday, August 26, 2026
Gemini Links 27/08/2026: Conditioning, Lagrange 1.21, and Computer Games
Links for the day