Bonum Certa Men Certa

Microsoft Attacks GNU/Linux in Asia Through the Government

Thai flag



Summary: Diplomats parrots Microsoft claims and biased 'studies' about "shareware" like Linux and why it is bad

IN the previous post we showed more of what Microsoft was doing in Vietnam, by proxy. In the following Cablegate cable we receive confirmation of what we knew Microsoft was doing behind closed doors all around Asia, especially whenever a government made the decision to move to GNU/Linux (famously in Thailand)



We are highlighting bits of interest in the diplomatic cable (for those who are not aware, the Business Software Alliance is a Microsoft front group):








UNCLAS SECTION 01 OF 02 HO CHI MINH CITY 000367

SIPDIS

SENSITIVE

State for EAP/BCLTV State pass to USTR Elena Bryan USDOC for 6500 and 4431/MAC/AP/OPB/VLC/HPPHO

E.O. 12958: N/A TAGS: VM, KIPR, ECON, ETRD SUBJECT: IN VIETNAM, THE GOVERNMENT IS MICROSOFT\'S FIRST TARGET

Summary ------- 1. (U) With a software piracy rate estimated at 95 percent by the Business Software Alliance, there is no shortage of targets in Vietnam for IPR protection efforts. Microsoft executives tell ConGen that it will focus on getting the GVN and multi-national corporations to use licensed software. Microsoft is worried about the interest in Linux-based systems, fearing that because it is more difficult to use, offices that officially switch to Linux will soon unofficially switch back to pirated Microsoft software.

Target the Big Targets ---------------------- 2. (U) At a recent meeting with Econoff and Econ FSN, Microsoft\'s Director for Business Development Asia-Pacific Emerging Markets Mr. Faycal Bouchlaghem and Vietnam Country Director Mr. Ngo Phuc Cuong described the situation in Vietnam from their company\'s perspective. Despite the prevalence of vendors selling pirated copies of Windows and other MS software from countless shops, Microsoft has decided to focus first on getting the GVN and second on multinational firms operating in Vietnam to use licensed Microsoft software. Their target is to switch the GVN over completely to licensed product over the next five years. Microsoft told Econoff that, like the rest of the market, the GVN currently uses very little licensed software and that many multinational firms that are law abiding elsewhere start using pirated software after a few months in Vietnam.

Windows Costs Money ------------------- 3. (U) Microsoft describes two main difficulties in moving the GVN from pirated to licensed software. First is Microsoft\'s lack of pricing flexibility. MS claims that they are constrained from offering deeply discounted pricing for the Vietnam or any other market by a `Consent Decree\' agreement with U.S. Department of Justice. They say that the decree would allow MS to develop and sell a new Vietnamese Windows product, and if it was substantially different from the existing versions, they could sell this special version for any price they chose. Microsoft\'s representatives said that this was not viable, however, since the Vietnamese market would not offer enough of a return on the investment needed to develop such products. They said that the company can, however, discount software to existing customers. But these customers will still have to pay for it.

Linux is Cheaper -------------------- 4. (U) The promise (false according to MS) of cheap or even free Linux-based software is another issue. MS outlined several reasons why, in their admittedly biased view, Windows was a better choice. First, the average user is used to Windows-based point and click software and retraining them to another system will be difficult. Second, Linux systems require more technical expertise on the part of the end user than do Windows systems. Finally, there would be a massive compatibility problem -- most of the world uses Windows, and the GVN could find themselves in a position where it might be difficult to communicate and share data between their Linux systems and everyone else\'s MS systems, not to mention the relative shortage of third-party software that runs on anything other than Windows.

Copying Thailand ---------------- 5. (U) Microsoft claims that these factors will inevitably lead to one outcome. They contend, based on their own analysis using a post-purchase survey of commercial Linux users in Thailand, that within a few months of a shift to Linux, almost every GVN computer will also be running pirated Windows software. They claim using Linux will be a hassle no one will put up with for very long. In the Thai survey cited by MS over 70 percent of consumers that acquired Linux operating systems were back to using illegal Windows software within a few months.

Other Efforts ------------- 6. (U) Though the GVN and multinationals remain the focus, MS also works with the Economic Police by offering them training on how to detect pirated products in the retail market. Microsoft agreed to let Econ FSNs attend the next training session. This opportunity should allow ConGen to expand its contacts within the Economic Police and help us better target our assistance on IPR issues.

7. (SBU) The firm is still trying to figure out the best way to work with local law enforcement. Like many observers Microsoft has been critical of the GVN\'s effort to protect IPR and was surprised in a recent meeting when the Economic Police asked MS to \"identify targets\" for enforcement raids. Microsoft elected not to give any names. They explained that they do not want to set a precedent by doing the government\'s job when it does not take much detective work to find an IPR violator. Nor do they wish to have MS linked to police action in the minds of consumers. They do not want Vietnamese to think police raids and fines when they think Microsoft. Microsoft\'s country director told Econoff that a few high-profile raids against small shopkeepers would not/not help Microsoft\'s long term business plan in Vietnam.

8. (U) Though wary of the stick, MS has been trying to use the carrot to change behavior. The company\'s Vietnam offices recently began the \"Clean Shop Program.\" This program asks retailers of software and assemblers of PCs to sign a pledge to provide customers with only licensed software. In return, program members are rewarded with points for every licensed copy sold. Points can be redeemed for merchandise in a system not much different from a frequent flyer or shopper program. Thus far, the \"Clean Shop Program\" has had limited success. In an investigation of program members, MS found that over 30 percent of the shops and factories -- all of whom volunteered for the program -- were still distributing unlicensed software.

9. (SBU) Microsoft\'s efforts to influence the local IPR situation extend beyond enforcement and rewards programs. On March 16, 2004 the software manufacturer signed a Memorandum of Understanding (MOU) with the Information Technology Project Management Office (ITPMO) of the Ho Chi Minh City People\'s Committee. This MOU, five pages in length, was drafted to ensure, \"mutual business cooperation,\" and, \"establish a formal basis for cooperation in the area of Information and Communication Technology.\" Under the terms of the MOU, Microsoft will, \"contribute to the social and economic development of Ho Chi Minh City by developing the local IT ecosystem by building skills through IT training for ICT companies, students, teachers and government ICT professional employees based on common projects, so as to help create employment opportunities in HCMC.\" Microsoft also agrees to help develop HCMC\'s e-government projects and work with the city government to agree on software licensing terms under the Microsoft Volume Licensing Program. Finally, Microsoft will set up courses to teach educators and students about ICT, as well as seminars, \"as appropriate for the target audience,\" on the value of IPR protection and enforcement. In return, the HCMC People\'s Committee, through the ITPMO, agrees to \"co-operate with Microsoft in order to ensure that the Ho Chi Minh City People\'s Committee\'s government institutions lead by example in using only licensed software and adopt the best practices for IPR protection and for the enforcement of IPR protection through the relevant Government Institutions.\" (NOTE: Full text of MOU to follow by SEPTEL)

Comment -------

10. (SBU) While the MOU is certainly a positive development, in that it increases dialogue and highlights the importance foreign companies place on IPR matters, it is an agreement without teeth. The MOU does not give either side legal leverage, nor are the stated goals and responsibilities binding. Life can go on as usual. If either party finds that an obligation must go unfulfilled for reasons beyond their \"reasonable\" control, they are automatically relieved of the obligation as long as they inform the other signatory in writing. The MOU is a nice vision of the future, but it lacks an actionable plan.

11. (SBU) For now it appears that the world\'s software giant is more worried about competition from \"shareware\" than it is about pirates. Microsoft\'s arguments that Linux may not be a good fit for Vietnam clearly stem from self-interest, but they have a point. In a country where government offices are filled with computers running pirated software, it seems unlikely that a lasting improvement will take root if the new system is any more difficult to use than the familiar, albeit illegal, alternative. And it will be hard to take real enforcement actions in the South, when the government itself is one of the biggest violators. YAMAUCHI







Linux is actually not "shareware", it is Free/libre software.

This cable was labelled "IN VIETNAM, THE GOVERNMENT IS MICROSOFT'S FIRST TARGET" and it is easy to see why. There is also Linux FUD there, coming from the mouths of diplomats whose wages are paid by taxpayers. Who are those people really serving, people or corporations? ⬆

"It's easier for our software to compete with Linux when there's piracy than when there's not."

--Bill Gates



Comments

Recent Techrights' Posts

The Microsoft Lunduke Slop Problem
Microsoft Lunduke does not support Software Freedom; he serves to discredit many ideas championed by Free software or ideals articulated which are apolitical for the most part
CDMAG Covers Free Software, New Magazine From Decent People
If enough people accessed their site, they would not rely on social control media (third parties, censorship platforms)
Brigading Against Women - Part XI - An Abject Lack of Social Skills (and Not Knowing How to Handle Women)
GGG enjoy - if that's the right term - very bizarre or esoteric sex life
EPO Will Stop Working for 10 Days to Protest Against 'Cocaine King' and His Assault on Democracy, Lawfulness, Transfer of Power at EPO
Strikes, work stoppage, all rolled onto one
Techrights is International
There are many sites that focus on local communities or nations. We're not one of those sites.
Brigading Against Women - Part X - When Actions of American Men Are Not Judged by Other American Men
"There is not the slightest suggestion that either Dr or Mrs Schestowitz did anything to invite or deserve it. They are both clearly and justifiably angered, dismayed, distressed and hurt by it."
 
Brigading Against Women - Part XII - Toxic Masculinity, Hunting Women, Will Code for Sex
Who says things like these?
Links 30/09/2026: "Understanding the LLM Bubble" and "Florida Senate Threatened Legal Action Against Newspapers"
Links for the day
It Looks Like Mass Layoffs at "Nordcloud, an IBM Company" Today (a Day Ahead of Red Hat)
Expect the same from Red Hat next
British Prime Minister Recognises Social Control Media as National Cohesion Problem
one has to wonder if addiction to social control media is not compatible with peace
The Future Isn't Social Control Media (Nothing Will be Left of It, Not Even Archives)
"Error code: 502 Bad Gateway"
GNU/Linux Usage in China is Increasing
China is leaving Microsoft and Windows behind
43 Years of GNU and GAFAM's (Especially Microsoft's) Attacks On It
GNU is very widely used (when people say "Linux commands" they typically mean "GNU programs"), hence it's being attacked a lot
Gemini Links 30/09/2026: Accelerationism, "The Billionaire is Wrong", Rant About LLM-generated Support E-mails
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, September 29, 2026
IRC logs for Tuesday, September 29, 2026
Black Brit on "Pictures Comparing Me to a Monkey" Because of Brett Wilson LLP Client
"Like Firm, Like Clients..."
President of the EPO Should be Kicked Out, Not Have His Term Terminated in 2028
The President is facing more scandals soon
David Gordon at The Register MS Keeps Feeding the Pyramid Scheme With Fake Articles That Say "AI" Dozens of Times
How can such a publisher still be taken seriously?
The Local Staff Committee The Hague (LSCTH) at the EPO Explains the Working Conditions and Crisis of Plunder (Less for Workers, a Lot More for Dictators Who Refuse to Leave Leadership Roles)
Next week will be epic
IBM Brings Avalanche to Red Hat October 1st 2026 (Thursday)
IBM is turning up the heat on staff
Links 29/09/2026: Mass Layoffs at Microsoft and Backlash Over Data Center Policy of Microsoft
Links for the day
5 Years Ago (September 29, 2021) Richard Stallman's Talk in Ukraine Noted
Let's hope the war will end soon
Links 29/09/2026: Acceleration, Morale, and ROOPHLOCH 2026
Links for the day
Links 29/09/2026: "Scam Altman Is Driving Drunk" and Anthropic Lies About Slop Usage
Links for the day
European Patent Office (EPO) Series: A Source of Pride for Portugal?
In this part our focus returns to the main theme of this series, namely the current reappointment campaign of the EPO President, as we consider whether Campinos can still expect to enjoy the same level of support from the Portuguese political establishment as he did during the earlier stages of his career
Computers Freeze Because of UEFI Restricted Boot
damage is also done to computers running Windows
It is Very Expensive to Slow Down Techrights
Garrett's expensive hearing (costing the British taxpayers about 120,000 pounds; he doesn't live here and does not pay tax here) slowed us down for a few days, but we've picked up the pace since
Linux Has Conquered Mobile, But Desktops and Laptops Matter More
When people say the desktop "doesn't matter" they seem to be missing the point that workplaces use desktops (or laptops) and a lot of the work gets done not on skinnerboxes but "workstations" or terminals
Brigading Against Women - Part IX - "What Are You, a Racist?"
Because behind every strong man is a strong opinion?
Gemini Links 29/09/2026: "Digital Sabbath", Starting a GemCapsule, and Sterrenkijker 1.1.0
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Monday, September 28, 2026
IRC logs for Monday, September 28, 2026
Brigading Against Women - Part VIII - Misogyny Embedded; Like Firm, Like Clients
It's about back doors
Chaos Imminent at Red Hat (This Week)
IBM is 'finishing the job' an ex-IBMer (Ron Hovsepian) did at Novell.
Microsoft Can PIP Workers (Silent Layoffs) Until Almost Nobody is Left
Microsoft is gradually vanishing
The Cyber Show Says Truth Always Requires a Fight, a Struggle
"Truth-tellers always face struggle and run risk"
Maladministration at the EPO as a Crisis for the EU and for Portugal's Image in Europe
Some time soon we'll publish a long article about what EPO leadership means to Portugal
3 Years of UK Hosting
We commend the webhost for standing firm in the face of misogyny
Tech Labeled "Smart" Does Not Make People Smart
People who insist on making everything digital are not advancing progress
Gemini Links 28/09/2026: Truncated Sleep, Plain Text, and Slop Problem Kept Out of Geminispace
Links for the day
Links 28/09/2026: "A Growing North Korea Problem" and Independent Journalism as a Lifeline
Links for the day
Links 28/09/2026: Microsoft Chatbot "Giving Extremely Specific Advice to a School Shooter on How to Maximize Casualties", ‘Suicidal Empathy’
Links for the day
Microsoft's Attacks on Courts in the Netherlands Result in GNU/Linux Growing to About 10% There
One core issue that justified this and led to this outcome is Microsoft's interference with the administration of justice
They Create the Conditions for People to Leave, This Way They Don't Call it "Layoffs"
We keep seeing many stories like these
Gemini Links 28/09/2026: Wildfire, DOS, and Backups
Links for the day
Brigading Against Women - Part VII - 'Trolling' Courts and Legal Systems in America and in the UK (Europe) Costs a Lot to Taxpayers
They only attend hearings after being arrested
European Patent Office (EPO) Series: The Portuguese Talent For Bureaucratic Empire Building
Portugal’s success in securing senior executive appointments at the EUIPO and the EPO is a notable example of how countries seek to strengthen their influence within European intergovernmental institutions
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, September 27, 2026
IRC logs for Sunday, September 27, 2026