All Work and No Play Unmakes China

It is hard to imagine how one of China's innovative business leaders or beautiful movie stars could look at the Chinese loyalists hunched over their desks at a Chinese Communist Party Congress and commit all their energy to further the will of Chairman Xi. Deng Xiaoping, the Chinese leader who decided to end the 1989 democracy demonstration in Tiananmen Sq uare by force, proclaimed, "It is a glorious thing to be rich." Yet, Hong Kong's Chief Executive, Carrie Lam, who is said to be among the leaders receiving the highest remunerations in the world, does not pocket any interest on her funds. Prompted by fear of US sanctions, she has no bank account and keeps her cash at home. Mr. Deng neglected to include joy, happiness, fun, freedom, beauty, truth and privacy on his list of glorious pursuits. In AMERICAN FACTORY, the Netflix documentary film about a Chinese factory in Ohio, a Chinese factory manager reveals he has had to commit to two years working away from his family. Even so, the factory manager is one of the lucky men his age who has a wife. China's earlier one-child policy has left 30 million men without mariageable women in 2020. And China's well educated urban women expect to marry men with money; they are not about to settle for villagers. While the Chinese Communist Party focuses on collecting data to control its 1.4 billion Chinese population, the Chinese people entertain other ideas. Ignoring social distancing and assorted restrictions imposed to prevent the coronavirus, China's young people flocked to see Mickey Mouse as soon as Disneyland reopened in Shanghai in May, 2020. For relief from China's "996" work schedule requiring labor from 9 am to 9 pm six days a week, fun-loving Chinese also ignore the government's distain for the lack of socialist values associated with playing Tencent's "Honour of Kings" or watching amateur dancers, singers and comics on Douyin, China's version of TikTok. Some have discovered they can discuss taboo topics away from censors on the Clubhouse app. Unfortunately, a team of Buddhist monks and nomad sheep and yak herders failed to play in a 2019 international basketball tournament because their participation was canceled by Chinese police who felt they might be unable to control a crowd of fans during the 19th National Congress of the Chinese Communist Party. Watching the Chinese Horse Club owners cheering when their Triple Crown winner, "Justify" won the 2018 Kentucky Derby, no one would have known China bans gambling. China's race horse buyers and trainers also can be seen at the New Zealand Jockey Club. Casinos on Macau, the former Portuguese island that is now a Special Administrative Region of China, continue to attract wealthy Chinese. Less affluent Chinese hide in the woods to gamble on mahjong games. At the same time, the Chinese culture that cultivates cheating and lying to achieve business objectives caught up with Lin Qi, the billionaire developer of "Game of Thrones: Winter is Coming," who died of poisoning on Christmas Day, 2020. Founded in 2009, Mr. Lin's Chinese YooZoo Games studio launched his popular strategy game in 2019. Accordig to the BBC, Mr. Lin was poisoned at the hands of a suspect, identified by Shanghai police only as Xu, but later as Xu Yao, the head of YooZoo's film productio unit. YooZoo holds the film adaptation rights to the popular Chinese sci-fi novel, THREE BODY PROBLEMS, the first of a trilogy by Liu Cizin. Like other Chinese movie projects, the plan for the book's film adaptation never developed. But Netflix now seems ready to adapt THREE BODY PROBLEMS for television. China expected its 1.4 million-plus population and twice as many eyes to serve as waving strobe lights attracting film-makers to Qingdao's new 2016, $8 billion film production complex. At first they came, but they soon refused to deal with the demands of censors in China's State Administration of Press Publications, Radio, Film and Television. China's popular film star, Fan Bingbing, was on her way to international fame until the government charged her with tax fraud, and she disappeared. Nowadays, the fledgling movie industry that made a Netflix romantic comedy despite electricity outages in poor little Zimbabwe offers more promise than China. Just as China allows its population limited film fare, readers have to be content with propaganda slogans on factory walls. In 2015, the owner of Hong Kong's Causeway Bay Books was arrested and charged with the "illegal sale of books," the political thrillers and bodice-rippers the Central Propaganda Department decided the Chinese population should not read. Before moving his bookstore to Taiwan in 2020, he observed, "Contemporary China is an absurd country." No doubt, most cowed Chinese will self-monitor their activities to conform to Beijing's control requirements. But some will defy personal recognition by shielding their faces with umbrellas and masks, wear black-face makeup to trick artificial intelligence into thinking they are apes, point lasers to disable surveillance cameras and travel on crutches or in wheelchairs to "disguise" their gait. What will the top tier geniuses China needs do? As some have done in the past, they will tire of finding their natural human desires unsatisfied and flee to Silicon Valley.

Has China Overplayed Its Hand?

Xi Jinping, Chairman of China's Communist Party, envisions a "China Dream", not to cool or feed the planet, but to regain China's place, center stage in world history. Kublai Khan's civilization, superior to Europe's in the 13th century, waited for Marco Polo to discover Chinese people paid for their goods with paper money and healed their wounds with a kind of vasoline. Unwilling to wait for China to be discovered in the 21st century, Chairman Xi chooses to dream of world domination by following Deng Xiaoping's 1978 advice, "It is a glorious thing to be rich." To be a rich country in the 21st century requires the technological superiority the world associates with Silicon Valley. When Chairman Xi learned, in April, 2018, a US ban on microchip exports could cause the bankruptcy of a Chinese firm, ZTE, he saw how the patent a US company held on a specific semiconductor chip established the international standard for an item essential in every device connected to a cell phone network. From that point on, his "Made in China 2025" program aimed for self reliance and acquiring standard essential patents (SEPs). Using a SEP without being licensed subjects a user to the charge of infringement. According to a German patent data source, Huawei now holds 2000 5G SEPs. Normally, a firm has to license its monopoly rights to anyone on FRAND (fair, reasonable and non-discriminatory) terms. The US wants to withhold licensing its SEPs to competitors because of national security concerns. To be fair, Huawei would have to be allowed to do the same. The chip situation is very complicated, because Washington has not been able to resist lobbying from US firms that want to continue selling chips to Huawei, a short term gain, since China is determined to end reliance on US supplies. Nonetheless, as of September 26, 2020, the US Commerce Department requires US suppliers to obtain hard-to-come-by licenses to export what China's Semiconductor Manufacturing International Corporation (SMIC), considered a supplier to the Chinese military, needs to upgrade and maintain its manufacturing and hardware equipment. Not easy to replicate or fund are the processes of: 1) designing the delicate silicon microchips created for different purposes, such as operating driverless cars, and 2) constructing the automated, super-cooled and shock resistant facilities where chips are manuractured. Ironically, Taiwan, which Beijing claims under its "one country, two systems" policy framework, currently is among the countries with facilities capable of fabricating microchips. Yet, Beijing is at odds with the democratic government Taiwan re-elected in January, 2020. Chairman Xi's detrmination to maintain stability through surveillance-guaranteed control and conformity undermines a relationship that provides Taiwan's top tier brainpower and technology. What steps is China taking to reduce external dependency, even from Taiwan, on foreign sources of semiconductor chips? - Enhanced domestic training of top quality skilled workers - Using experienced Chinese hackers to scoop up foreign researh and development progress in a wide variety of high tech industrial, medical, engineering, solar, gaming and military fields - China Talent Plan, a spy-like program for recruiting foreign individuals with access to intellectual technology property who are willing to work with Chinese partners - Huawei, a Chinese company with total annual earnings of over $100 billion annually from 170 countries, sells smartphones and cellular and internat gear that give Beijing potential access to big data from around the world. Some US professors targeted by the China Talent Plan have seemed oblivious to the way China uses them, but the FBI has been concerned for more than a decade. Yanqing Ye, for example, would see herself on an FBI wanted poster after she entered Boston University's Department of Physics, Chemistry and Biomedical Engineering without declaring, on her visa application, her status as a Lieutenant in China's military, her membership in the Chinese Communist Party and her association with China's National University of Defense Technology (NUDT). The FBI found a Princeton professor working on unmanned drones and autonomous submarines with a scientist from NUDT. Although Huawei has global sales, its biggest customer is China, where a 2017 law requires any citizen or organization, including Huawei, to comply with all government requests. Therefore, the US attempts to prevent countries from making Huawei purchases, especially the countries in the "Five Eyes" spying pact that shares intelligence among Australia, New Zealand, Canada, the UK and US. When Britain concluded a review of an April 24, 2019 decision to build its 5G (fifth generation) network with a limited amount of Huawei equipment, the decision was overturned on July 14, 2020. In October, 2020, Sweden also decided not to use Huawei products in its 5G network. Following the UK's decision, Britain suggested forming a 10-country alliance of democracies to develop 5G technology and to eliminate dependence on Huawei and other Chinese technology companies. With 6G technology already on drawing boards, an alliance of G7 countries (Britain, Canada, the US, France, Germany, Italy, Japan) and Australia, South Korea and India represents an important source of brainpower and financing to develop future networks. Such a NATO-like coalition also could more than match China's future investments in computing power to handle big data, the semiconductor industry, drones, robotics, autonomous weapons and other advanced technology. By attempting to gain world domination, China has stirred up widening opposition to its transgressions, such as internment of one million Uighur Muslims in so-called re-education camps, disregard of Hong Kong's 50-year guarantee of rights under China's takeover agreement with Britian and an expanding claim to the South China Sea. What some are calling a tech Cold War is more. Chinese Communism and the democratic ideals of human rights, the rule of law and representative government are waging a battle for history's center stage.

What Would Xi Do?

Today in China, President Xi Jinping expects his Thoughts to replace those of Confucius, Mao Zedong, Mohammed, and Jesus. But what are his Thoughts?

At last year's 19th Communist Party Congress, President Xi announced China entered a new era of "Socialism with Chinese characteristics." Since then, many have tried to attach actionable meaning to President Xi's vague dictum. University professors lecture on the Chinese characteristics of socialism; party cells attempt to study a 355-page book on the subject; major companies, libraries, and community centers set aside space for Thought study.

     Much to President Xi's annoyance, since Deng Xiaoping's 1978 emphasis on full tilt economic and scientific progress creeps into discussions, some claim "socialism with Chinese characteristics" really is "capitalism with Chinese characteristics." Maybe President Xi is a little jealous of Deng, who is glorified for beginning China's 40-year economic transformation, while he is left to stifle constitutional, democratic, and religious rumblings from Hong Kong to Tibet. Just to add to the confusion, one of Deng's sons, Deng Pufang, who was paralyzed when Maoist radicals threw him off a building during the Cultural Revolution, disagrees with the aggressive foreign policy and "world class" army Xi's Thought seems to espouse.

     Judging from what is rewarded at China's universities, STEM (science, technology, engineering, math) subjects are consistent with the Thoughts of Xi. Students receive financial rewards for STEM papers published in the Scopius catalog of abstracts. Some oppose the tendency of students to play it safe with incremental research rather than aiming for breakthrough innovations, especially with meaningful engineering discoveries that advance modernization or with new social science theories about human behavior. In his new book, Blueprint, genetics psychologist, Robert Plomin, also exposes some of the defects in papers published in scientific journals. He observed researchers are tempted to report only the most novel results, the best story, even though their experiments did not gain the same results every time. In other words, results could not be replicated.

     The Chinese Party definitely agrees with what Xi's Thought prohibits: 1) belief in universal values, such as human rights and freedom of speech and assembly, even though China's constitution allows these rights, 2) an independent judiciary free of government interference and open to public scrutiny, and 3) criticism of past Communist Party mistakes.

     Recently, Western ambassadors, however, have not been reluctant to criticize the mass detentions and surveillance of Muslim Uighurs in western China's Xinjiang province. According to an article in the Financial Times, China uses facial recognition technology to track at least 2.5 million people in the province.  Foreign reporters who recently visited the camps were shown those in detention happily singing in English. They also found Beijing's re-education strategy seemed to have reduced the Uighur Muslims' religious devotion.