Industry insiders have revealed that Chinese software providers are now rapidly penetrating international markets, partly thanks to advancements fueled by intense competition domestically. China currently has one of the most competitive software markets in the world and only those who have the right formula and products survive.
According to the Minister of Industry and Information Technology, Miao Wei, they have now seen an influx of Chinese software service providers participating in international markets. More software technologies, products, and solutions made by Chinese firms such as Alibaba, Tencent, and Baidu, are apparently now being used by foreign institutions ranging from industries such as finance and manufacturing.
Part of the reason for the global momentum is the companies' increased investments in overseas marketing. Chinese software firm Chinasoft International has reportedly spent millions of dollars in promoting its products aboard.
Thanks to its investments the company now earns around 20 percent of its total revenues from its overseas business. The Nanjing-based software firm mainly provides online IT and software platforms.
According to Chinasoft's CEO, Chen Yuhong, competing in foreign markets have become an important focus in the company's development plans. The executive pointed out that there is a huge demand overseas for quality and affordable software solutions. Chen stated that he is confident that his company's overseas business will gradually increase in the coming years.
Majority of China's software companies are reportedly looking into penetrating emerging markets such as Israel and South America. These markets apparently provide massive opportunities for software companies as technology and infrastructure are developing at breakneck speeds in those markets.
The CEO of software firm CVIC Software Engineering, Jing Xinhai, had stated that Chinese software has the potential to succeed overseas given how the country has become one of the leading nations when it comes to internet and information technologies.
According to the executive, most of the companies that have managed to succeed in China had to overcome a plethora of technological hurdles due to the sheer scale of the software industry in the country. Jing stated that those companies that have managed to succeed domestically shouldn't have any problems competing internationally.
Because of the stiff competition and the rapidly evolving Chinese tech industry, Chinese software service providers are often working with the very bleeding edge of their respective technologies. These companies have mostly already transitioned to more advanced technologies, such as artificial intelligence and cloud computing, and have abandoned low-end products.
One of the best examples is the recent transformation of China's first listed software company, Neusoft. The relatively ancient tech firm has invested heavily in enhancing the research and development units for its core technologies. Last year, the company acquired a $565 million credit from China Development Bank to help support its transformation efforts.
