China Intensifies Push To 'Delete America' From Its Technology

A directive known as Document 79 ramps up Beijing's effort to replace U.S. tech with homegrown alternatives. From a report: For American tech companies in China, the writing is on the wall. It's also on paper, in Document 79. The 2022 Chinese government directive expands a drive that is muscling U.S. technology out of the country -- an effort some refer to as "Delete A," for Delete America. Document 79 was so sensitive that high-ranking officials and executives were only shown the order and weren't allowed to make copies, people familiar with the matter said. It requires state-owned companies in finance, energy and other sectors to replace foreign software in their IT systems by 2027. American tech giants had long thrived in China as they hot-wired the country's meteoric industrial rise with computers, operating systems and software. Chinese leaders want to sever that relationship, driven by a push for self-sufficiency and concerns over the country's long-term security. The first targets were hardware makers. Dell, International Business Machines and Cisco Systems have gradually seen much of their equipment replaced by products from Chinese competitors. Document 79, named for the numbering on the paper, targets companies that provide the software -- enabling daily business operations from basic office tools to supply-chain management. The likes of Microsoft and Oracle are losing ground in the field, one of the last bastions of foreign tech profitability in the country. The effort is just one salvo in a yearslong push by Chinese leader Xi Jinping for self-sufficiency in everything from critical technology such as semiconductors and fighter jets to the production of grain and oilseeds. The broader strategy is to make China less dependent on the West for food, raw materials and energy, and instead focus on domestic supply chains.

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