Taking Part in the 2007 "Microsoft Government Leaders Forum – Asia" in Beijing
April 24 (Tuesday) 2007
The Microsoft Government Leaders Forum – Asia was held April 18-19 in Beijing. I was invited to this forum as a guest speaker, and would like to share my impressions of what was an informative experience in various different ways.
Microsoft Corporation sells its computers and various kinds of solutions all over world, and has accomplished a strong market share. To achieve such results, Microsoft cultivates close relations with its customers around the world, and is developing a strategy of working together with the customers to solve problems. The government sector is extremely significant in this IT systems and solutions market. First, the government itself is a large customer. In addition, the systems and policies created by the government greatly regulate the shape of the IT market.
To permeate markets around the world, it has been Microsoft's practice to invite government leaders from around the world to the US and focus on network-building. In recent years, however, dispatching Microsoft executives or staff to critical regions or countries has come to be considered a more effective way of rallying and sharing information with local or regional leaders and experts. In this way it was decided to hold a Government Leaders Forum – Asia three years ago in Singapore, last year in India, and this year in China.
Microsoft first opened a research center in China's capital city of Beijing fourteen years ago – this center has now developed into Microsoft's most influential research center in the world. From basic research to cutting-edge product development, a wide range of research and development is conducted at the center and new achievements are churned out one after another. A popular destination among young Chinese researchers, the research center is an assembly of China's bright minds. In this way, Microsoft is fully utilizing China's human resources, and at the same time substantially contributes to China's strategy of becoming a world leader in science and technology.
Chairman Bill Gates and other important executives were in attendance at the forum. Chairman Gates focused his speech on how to spread the benefits of IT among the "next 5 billion people" around the world. IT is nearly pervasive among 1.5 billion of the world’s 6.5 billion people, and Microsoft has achieved a 90% share of that market. This means that Microsoft has already saturated these established IT markets, and in a way the software and systems provided by Microsoft serve as basic infrastructure that is like public goods.
However, the benefits of IT have generally not reached the remaining 5 billion people that exceed this market. In other words, the "next 5 billion people" refers to those left out on the margins of the digital divide. These 5 billion people not only suffer from low living standards, but food is insufficient, health standards are low, many are exposed to the dangers of infectious diseases, and it is difficult just to survive. In addition, as a result of poor education many cannot read nor do simple arithmetic. Is has been Chairman Gates' long-held desire to spread the boons of IT to these people.
To achieve this, this population must first be freed from the fear of infectious disease and hunger and allowed proper education. Chairman Gates spoke passionately about providing good health and education, and then delivering the benefits of IT to these "next 5 billion people". Though he turns 52 this year, Chairman Gates was filled with a sense of purpose, and it was almost as if an 18 year old youth was sharing his dreams and calling in life. Microsoft follows these basic principles and ideals of Chairman Gates, and to realize them it shares information, develops strategies, and works to solve problems with global leaders. I found this particularly impressive.
Chinese government leaders emphasized that while China is still in developmental stages, it is extremely rich in human resources and if it can educate this vast resource it will become an innovative global leader. Microsoft, as an important supporter of these basic strategies of China, represents a truly impressive model of a global corporation that has spread its roots deep with China's economy and society and is developing business strategies.
Fujitsu is also one of the largest corporations in the world with sales of 2.9 trillion yen (approximately US$24 billion) and 37,000 employees (161,000 employees in the global Fujitsu Group). Fujitsu also endeavors in various ways to penetrate the global market, and can learn a great deal from the lesson provided by Microsoft's strategies.