Microsoft launched a large-scale campaign to promote the authorized version of Windows 7 in China, in accordance with the latest intellectual property protection moves initiated by the government. Microsoft will use nationwide advertising, price discounts, cooperation with computer makers and face-to-face talks with customers, to encourage people in China to use the genuine version of Windows 7. During the initial stage of the campaign, Microsoft will focus on six major cities, including Beijing, Nanjing and Hangzhou, Simon Leung, Chairman and CEO of Microsoft’s operations in China, said on the first anniversary of Windows 7’s launch in the country. On November 26, Vice Minister of Commerce Jiang Zengwei said the government had launched an inspection into the use of genuine software in central and local government agencies. The first batch of 29 central government agencies has already been inspected. The Windows XP market share in China was 81.8% in November, while Windows 7’s share was a mere 10.3%, according to Net Applications, an internet analytics firm. The global figures are 57.9% and 19.7% respectively.

China is developing its own operating system software akin to Microsoft’s Windows. China Standard Software signed a strategic cooperation agreement with the National University of Defense Technology. Chen Ying, Software Division Director of the Ministry of Industry and Information Technology (MIIT), said it was necessary for China to develop its own operating system for national security and industry development because chip and systems are the two “hearts” of the industry. Operating systems developed by China Standard Software will be used in both national defense and the civil sectors. The university and China Standard will also establish a development center, said Han Naiping, China Standard Software’s General Manager.

Lenovo hopes to secure an agreement with China Mobile to sell its smartphones in China. Research firm Analysys International estimated that Lenovo had a 4.1% market share to take 7th place among the top 10 smartphone brands in China in the third quarter. Global brands Nokia, Samsung Electronics, Motorola, Sony Ericsson, Apple and BlackBerry maker Research In Motion (RIM) remained ahead of Lenovo in domestic smartphone sales, with a combined market share of 74.9%. Lenovo’s mobile business, which still sells more 2G handsets, posted a consolidated turnover of USD217 million in the quarter to September. Its overall unit shipments in the quarter grew 57% year on year. Lenovo planned to invest more in its mobile business to accelerate sales growth for its LePhone and LePad products. A deal with China Mobile would mean Lenovo’s engineers must adapt LePhone, which runs a customized version of the Google-developed Android operating system, to the carrier’s TD-SCDMA 3G network. The current LePhone models support China Telecom’s CDMA2000 EV-DO 3G network and Unicom’s more mature WCDMA 3G system.

Companies including Google and Microsoft have more time to bring their online mapping services in line with Chinese regulations after the State Bureau of Surveying and Mapping extended the license application deadline. The bureau plans to launch a crackdown next year against illegal online mapping services in China. “We will give warnings to service providers that fail to get a license by March 31 and will take administrative actions against them after July 1,” the bureau said. That means companies such as Google and Microsoft, which the bureau said have not yet applied for a license, will have an additional six months for their license applications, which the bureau said earlier had to be done by the end of this year. Frost & Sullivan Analyst Ji Chendong said that China has entered its “golden phase” for online map services and next year’s sales revenue will exceed CNY2.5 billion with 150 million users. In September, the bureau gave licenses to 31 companies including Nokia, Baidu, Alibaba, Sina and Tencent. Baidu, DDMap and Google are the major online map providers in China, which together account for more than half of the market share.

Thousands of unauthorized foreign TV series have been taken off video websites as the authorities pay more attention to copyright issues. Youku signed agreements with three major South Korean TV stations — MBC, KBS and SBS — for authorized screening of TV series, but made little progress on cooperation with American TV producers due to “higher royalty payments and strict content censorship (in China)”, according to a video website executive. Tudou is attempting to fill the gap by producing its own films and TV series. “Welcome Love to Visit” is the portal’s first Web drama, made at a cost of CNY6 million. “From website operators to video producers, content copyright has become more crucial to the survival of video portals,” said Li Shanyou, CEO of the video website Ku6.