The Chinese Government signed two separate agreements Thursday in Beijing with US technology giants Microsoft and Hewlett-Packard to build labs based on competing operating systems Windows and Linux.

The deals mark the country's first step towards building a national software and integrated circuits (IC) public service platform.

The platform aims to foster growth in the Chinese software industry and provide public resources and technical services to local software companies.

"Microsoft and HP are just the first two partners in this program and we are willing to work with any multinational and domestic company to promote the development of the software industry," said Zhang Qi, director-general of the electronic products management department under the Ministry of Information Industry (MII).

Microsoft promised to open two labs for its Windows and. Net technologies to allow domestic small and medium software companies to develop products and applications.

The US software behemoth will provide the labs with the hardware, technical support, training and Microsoft software worth at least 80 million yuan (US$9.638 million) in the next two years.

Under another deal, computer and printer giant HP will, in partnership with Chinese firms, build a Linux lab for the national software public service platform.

HP promised to provide the lab with software, hardware, technical support and training worth approximately 200 million yuan (US$24.1 million) in the coming three years.

Visiting HP Chairwoman and Chief Executive Officer Carly Fiorina, said at the signing ceremony that HP has long been a firm supporter of and a participant in the development of open source, open standard and open protocol.

HP is fully confident in the prospects of open-source Linux systems and will work together with the Chinese Government and companies to promote the development of Linux in the country, she noted.

"We are working together with our partners to foster a healthy ecosystem," Kevin Johnson, senior vice-president of Microsoft, said from the United States during a videoconference with the MII.

The labs based on Windows and Linux are designed to help firms develop and test innovative products and applications in a bid to promote software innovation and the adoption of information technologies.

Deputy MII chief Gou Zhongwen signed the two deals with Microsoft and HP executives, a sign the Chinese Government is trying to adopt a balanced view towards the two competing operating systems.

Zhang Qi, who also attended the two signing ceremonies, said the MII will support both Windows and Linux-based software and won't exclude anyone who wants to help foster the development of the domestic software industry.

"We will encourage the development of any product as long as there is demand from consumers," she said.

(China Daily March 12, 2004)