● 09.07.11

●● Cablegate: In Vietnam, BSA+IDC+Microsoft Assure Microsoft Lock-in in Exchange for Indoctrination

Posted in Asia, Deception, Microsoft at 4:28 am by Dr. Roy Schestowitz

Summary: An absurd exchange which on both sides of the coin works in Microsoft’s favour

THE FOLLOWING Cablegate cable is similar to the previous one in the sense that we see the annual BSA/IDC lies (we debunked these many times before) being used by politicians to lobby for Microsoft’s agenda. Even though counterfeiting is beneficial/essential to Microsoft’s business, Microsoft is being portrayed as a victim and this ‘victimhood’ tactic is then being used to cause embarrassment/guilt and have a submissive deal signed — a deal under which a lot of taxpayers’ money gets passed to Ballmer and Gates, who in ‘exchange’ for this ‘favour’ will help indoctrinate the Vietnamese population. Some deal, eh? Then consider other stories from Vietnam, such as:

similar to the previous one

↺ counterfeiting is beneficial/essential to Microsoft’s business

US Government Helps Microsoft Derail Vietnamese Migration to Free/Libre SoftwareMicrosoft Strikes Back In Vietnam (Leaked)Bill Gates’ ‘Foundation’ is Lobbying Vietnam’s Leadership to Derail Migration to Software Freedom, Puts Money Together With Microsoft

Notice the lies from the BSA (these are actually IDC+BSA lies, where the former uses IDG to spread the lies through the media). It says that “The 2007 Business Software Alliance (BSA) and IDC Global Software Piracy Study ranks Vietnam as having the world’s fifth highest software piracy rate. At 88 percent, this is the highest rate in Asia.”

↺ BSA

Lists of shame are a shameful. It’s the way sex offenders are being treated. Here is the cable in full:

↺ sex offenders are being treated

>

VZCZCXRO2587

OO RUEHHM

DE RUEHHI #0945/01 1421035

ZNR UUUUU ZZH

O 221035Z MAY 07

FM AMEMBASSY HANOI

TO RUEHC/SECSTATE WASHDC IMMEDIATE 5427

INFO RUEHHM/AMCONSUL HO CHI MINH 3073

RUCPDOC/DEPT OF COMMERCE WASHINGTON DC

UNCLAS SECTION 01 OF 02 HANOI 000945

SIPDIS

SENSITIVE

SIPDIS

STATE FOR EAP/MLS AND EB/TPP/IPE JBOGER

STATE ALSO PASS USTR DBISBEE AND RBAE

STATE ALSO PASS USPTO FOR JURBAN

STATE ALSO PASS LIBRARY OF CONGRESS FOR TEPP

USDOC FOR 4430/MAC/AP/OPB/VLC/HPPHO

E.O. 12958: N/A

TAGS: KIPR, ECON, ETRD, ECPS, VM

SUBJECT: MICROSOFT SIGNS LANDMARK SOFTWARE LICENSE AGREEMENT WITH

VIETNAM

(U) SENSITIVE BUT UNCLASSIFIED, DO NOT POST ON THE INTERNET

1. (SBU) Summary: On May 21, Microsoft CEO Steve Ballmer and

Vietnamese Prime Minister Nguyen Tan Dzung witnessed the signing of

a multi-faceted agreement committing all GVN agencies to use

licensed software. For its part, Microsoft will increase its

investment to develop Vietnam's information and communication

technology (ICT) sector through training and capacity building

programs. Embassy intervened with GVN officials to make sure the

signing took place after Microsoft met with the Ambassador and

expressed last-minute concerns that the GVN would hold the agreement

as a deliverable for the potential visit of President Triet later

this summer. The agreement is a significant demonstration of

Vietnam's commitment to protect intellectual property rights (IPR)

and stop rampant piracy. Implementation of this agreement will move

Vietnam from having the world's fifth highest, and Asia's highest,

software piracy rate to a better ranking in the region and the

world. This may well constitute the most significant agreement

Vietnam has ever signed with a U.S. business. End Summary.

2. (SBU) During his May 21 visit to Hanoi, Microsoft CEO Steve

Ballmer joined Vietnamese Prime Minister Nguyen Tan Dzung, the

Ambassador and other GVN officials to witness the signing of a

multi-faceted agreement between the company and the GVN requiring

all government agencies to purchase and use licensed software. This

follows through on the Memorandum of Understanding (MOU), signed in

Washington during Deputy Prime Minister/Foreign Minister Pham Gia

Khiem's March visit, which committed both sides to sign a

comprehensive agreement on software licensing and collaborative ICT

development efforts by the end of May. Microsoft's President for

Southeast Asia Chris Atkinson estimated that Vietnam would purchase

licensed software for approximately 300,000 desktops through this

deal. In exchange, the agreement provides a foundation for

Microsoft to assist Vietnam in developing its ICT sector through

training, human resource development and other capacity building

programs. (Note: Though the figures are not public, Atkinson said

the 300,000 licenses will cost the GVN approximately USD 20 million,

while Microsoft's investment to develop the local ICT industry would

be around USD 3 million. End Note.)

Last-Minute Concerns by Microsoft

---------------------------------

3. (SBU) On May 18, Microsoft's Atkinson requested a last-minute

meeting with the Ambassador to request his assistance in urging the

GVN to follow through on its commitment in the March MOU to sign the

formal agreement by the end of May. Microsoft was concerned that

the GVN would try to delay signing some or all of the substance of

the agreement to preserve it as a deliverable for the potential

visit this summer by Vietnam's President Nguyen Minh Triet.

4. (SBU) Following the meeting, the Embassy contacted officials in

the Ministry of Foreign Affairs and the Office of the Government to

underline United States Government support for signing the agreement

now, so that our Presidents would be able to echo the signing's

important message and broad positive reaction during President

Triet's potential visit. For its part, Microsoft told the GVN it

would "mobilize all available resources" to spotlight Vietnam's

efforts to uphold its commitments to protect intellectual property

rights (IPR), as well as the opportunities for increased cooperation

between U.S. firms and Vietnam's ICT industry during the possible

Triet visit. Late on May 18, the GVN confirmed to Microsoft that it

would proceed with the signing now, with the hope that the two sides

could hold a second, "ceremonial" signing in Washington in

conjunction with the planned Triet visit.

PM Dzung and Microsoft's Ballmer Applaud This Step

--------------------------------------------- -----

5. (SBU) At the 30 minute signing ceremony, Prime Minister Dzung

stated that this agreement is evidence of Vietnam's commitment to

Microsoft, to the World Trade Organization and to the U.S.-Vietnam

Bilateral Trade Agreement (BTA). The Prime Minister said he highly

appreciates the cooperation with the United States in the ICT field

- both through USG assistance and cooperation and investment from

large U.S. enterprises - referencing specifically the anticipated

March 2008 launch of the Vinasat satellite built by Lockheed Martin.

He continued by saying that Vietnam will consistently follow market

practices, and will implement fully its international commitments,

including those on IPR protection. He told Microsoft's Ballmer that

he would personally ensure Vietnam fulfills its obligations under

this agreement. IPR protection is important to develop Vietnam's

"modest" USD 300 million software development industry and the ICT

sector as a whole, which will be critical in extending Vietnam's

HANOI 00000945 002 OF 002

wave of development, the Prime Minister said.

6. (SBU) PM Dzung talked about Vietnam's so-called Six Pillars of

Comprehensive Development (outlined in the World Bank/Asian

Development Bank/UNDP 2001 Vietnam Development Report) required to

ensure Vietnam's "sustainable development with social equity." He

noted that Vietnam will need to emphasize particularly the fifth

pillar, which he defined as education, training, science and

technology. This agreement provides a foundation for cooperation in

this pillar, Dzung said, expressing his hope that Microsoft would

continue to support Vietnam through participation in efforts such as

the Topic 64 Program and its ongoing work with Vietnam's leading IT

firm, FPT Corporation.

7. (SBU) Ballmer responded by stating that this agreement

demonstrates Vietnam's seriousness in protecting IPR and in creating

an environment and a platform for Vietnam's ICT industry to grow.

Echoing the Prime Minister's personal commitment, Ballmer agreed

likewise personally to ensure that Microsoft upholds its promises to

assist Vietnam's ICT sector.

Improving its BSA Software Piracy Ranking

-----------------------------------------

8. (SBU) The 2007 Business Software Alliance (BSA) and IDC Global

Software Piracy Study ranks Vietnam as having the world's fifth

highest software piracy rate. At 88 percent, this is the highest

rate in Asia. Significantly, Microsoft estimates that this

agreement alone will improve Vietnam's piracy rate by at least 10

percentage points, which would put it ahead of many other countries

in the region, including China, Indonesia and Thailand. Microsoft's

Atkinson told the Ambassador that this would be "one of the single

biggest percentage drops in the history of tracking software piracy

rates."

Comment

-------

9. (SBU) Of all the signings with U.S. businesses in recent years,

this agreement is likely the most significant for Vietnam in the

long term. Carrying through on its commitments will enable Vietnam

to take a giant step forward in its international respectability

with regard to protecting intellectual property rights. It sends a

strong signal about Vietnam's commitment to IPR protection as it

contemplates requesting consideration as a beneficiary under the

Generalized System of Preferences (GSP) Program and works to improve

its status under the Special 301 review process. The agreement will

also lead to a new level of development in Vietnam's ICT industry,

setting the stage for it to become a potentially significant player

in this rapidly expanding sector.

MARINE

Why is this a matter of foreign affairs and international policy anyway? This is a private business. █

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