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The SPRIE conference on "China 2.0: Transforming Media and Commerce" was held at the Graduate School of Business at Stanford University, in the heart of Silicon Valley, on Friday, September 30, 2011. The conference focused on the driving forces and global implications of the rapid growth of China's internet industry.

China is home to nearly half a billion internet users, twice the online population in the US. Already home to two of the world’s top five internet firms by market valuation, China is giving birth to innovative start-ups and powerhouse billion dollar firms in social networking, games, media, and e-commerce. These companies thriving in China are increasingly impacting the global digital economy. Fueling the rise of China’s internet firms are venture capitalists who are leading new investment models and strategies which are shaping the VC industry and the most dynamic—and profitable—internet sectors in China.

Featured speakers included internet pioneers, trailblazer investors across the Pacific, and young entrepreneurs who are shaping the rise of China 2.0.

Keynotes

Jack Ma - Chairman and CEO of Alibaba Group, delivered the closing keynote address. Alibaba Group includes online marketplace Alibaba ($4.8 billion market cap,ticker 1688:HK), retail and payment platforms (Taobao, Alipay), cloud computing services, China Yahoo, etc. In 2009, Jack Ma was recognized as one of the "TIME 100: The World's Most Influential People" by TIME, one of "China's Most Powerful People" by BusinessWeek and one of the "Top 10 Most Respected Entrepreneurs in China" by Forbes Chinese edition.

 


Joseph Chen (MBA '99) - Chairman and CEO of Renren Inc. offered a keynote speech. Renren.com is one of China’s leading social networking sites, which completed its IPO on the NYSE (ticker: RENN) in May 2011 and now has a market cap of $2.6 billion. Joseph Chen is a pioneer of China's internet industry. Before founding Renren Inc., he was the co-founder, chairman and chief executive officer of ChinaRen.com, a first-generation SNS in China and one of China's most visited websites in 1999.

 



China 2.0 Conference Co-Chairs shared sprie's research preview:

Duncan Clark is Senior Advisor for the China 2.0 Project at SPRIE and Chairman of BDA China, a company he founded in Beijing in 1994. An expert on the Internet, e-commerce and telecom sectors in China, he has guided BDA to become the leading technology and media advisory firm in China, with a team of 70 in Beijing serving financial institutions and corporations investing in high-growth sectors in China and neighboring markets.

 

 

Marguerite Gong Hancock is the Associate Director of SPRIE where co-leads overall programs and also directs research initiatives on "China 2.0" and "Smart Green Cities". Since joining Stanford in 1987, she has led international research programs at the intersection of business, technology, and policy at the Graduate School of Business and the Shorenstein Asia Pacific Research Center. She is an expert on innovation and entrepreneurship for high technology regional development and has co-edited four books and co-directs an executive education program for international policymakers.

 

Panel discussion on "china new media & E-commerce investment outlook"

Tim Chang, Managing Director of Mayfield Fund
Tim Chang, Managing Director of Mayfield Fund
Tim Chang, Managing Director of Mayfield Fund
Tim Chang, Managing Director of Mayfield Fund
Tim Chang, Managing Director of Mayfield Fund
Tim Chang, Managing Director of Mayfield Fund
Tim Chang, Managing Director of Mayfield Fund
Tim Chang, Managing Director of Mayfield Fund
Tim Chang (MBA '01), Managing Director of Mayfield Fund. Tim is a proven venture investor and experienced global executive.  He was named on the 2011 Forbes Midas List of Top 100 Dealmakers, was featured by The Deal as one of five emerging VCs to watch and by the AlwaysON Hollywood IT List recognizing technology leaders in the digital entertainment industry. 

 

 

David Chao, Co-Founder and General Partner of DCM
David Chao, Co-Founder and General Partner of DCM
David Chao, Co-Founder and General Partner of DCM
David Chao, Co-Founder and General Partner of DCM
David Chao (MBA '93), Co-Founder and General Partner of DCM. He has been active in the information technology industry since the 1980s, participating in the fastest growing sectors of computers, communication and the Internet. David serves on the Boards of 51job, 99Bill, BitTorrent, Lumi, Renren.com, RockYou and Translattice. He is also responsible for the investments in Clearwire, eDreams, Fortinet, kabu.com and Sling Media.

 

 

 

Paul Kwan, Managing Director, Morgan Stanley
Paul Kwan, Managing Director, Morgan Stanley
Paul Kwan (BAS '96), Managing Director, Morgan Stanley. Paul leads the global Internet and software banking effort at Morgan Stanley. In China, Paul and his team have led the IPOs for Renren, 21Vianet, Phoenix New Media, 51job.com and others. Morgan Stanley has also been the lead left bookrunner on the recent IPOs for LinkedIn, Pandora, Yandex, and Homeaway. In M&A, Paul has been particularly focused on the convergence of internet advertising, commerce and technology, and advised Omniture on its $1.8Bn sale to Adobe, ATG on its $1.0Bn sale to Oracle, aQuantive on its $6.1Bn sale to Microsoft, DoubleClick on its $3.1Bn sale to Google, and Zappos on its $1.1Bn sale to Amazon.

 

Richard Lim (MBA '88), Managing director and co-founder of GSR Ventures, the premier early-stage venture capital firm in China. Mr. Lim focuses on investments in the Internet, digital media and green technology sectors. In the Internet sector, some of the boards where Mr. Lim serves are AdChina, Baihe, Lashou, LightInTheBox and Qunar.

 

 

 

Panel discussion on "China internet entrepreneurs"

Fritz Demopoulos, Founder of Queens Road Capital, Qunar, Shawei
Fritz Demopoulos, Co-Founder and Former CEO of Qunar.com. Fritz Demopoulos has been involved in the Chinese internet and media industries for over a decade. He was recently the co-founder and CEO of Qunar.com, China's largest travel website and venture backed by GSR, Mayfield, Granite and Tenaya. Qunar sold a majority stake to Baidu earlier this year, which was the largest trade sale in the history of the Chinese internet space.

 

 

 

Grace Huang, Founder and CEO of iPinYou.com
Grace Huang, Founder and CEO of iPinYou.com
Grace Huang, Founder and CEO of iPinYou.com
Grace Huang, Founder and CEO of iPinYou.com
Grace Huang, Founder and CEO of iPinYou Interactive Advertising Co. She started her career at P&G as brand manager and was an ex-McKinsey consultant focusing on marketing. She obtained her MBA degree from ULCA business school. She has profound knowledge in brand marketing and internet advertising, especially targeting advertising.

 

 

 

 

Jianshuo Wang, Founder and CEO of Baixing.com
Jianshuo Wang, Founder and CEO of Baixing.com
Jianshuo Wang, Founder and CEO of Baixing.com
Jianshuo Wang, Founder and CEO of Baixing.com
Jianshuo Wang, CEO of Baixing.com. He founded Hotales.net in college, an online marketing site. After six years at Microsoft he launched Kijiji, eBay's classified-advertising business in China in 2005. Three years later Mr. Wang spun off Baixing.com, an online community with listings for houses, jobs and second-hand goods.

 

 

 

Nick Yang, Founder and CEO, Wukong.com; Founder, ChinaRen.com and KongZhong
Nick Yang, Founder and CEO, Wukong.com; Founder, ChinaRen.com and KongZhong
Nick Yang, Founder and CEO, Wukong.com; Founder, ChinaRen.com and KongZhong
Nick Yang, Founder and CEO, Wukong.com; Founder, ChinaRen.com and KongZhong
Nick Yang, Founder and CEO, Wukong.com; Founder, ChinaRen.com and KongZhong
Nick Yang, Founder and CEO, Wukong.com; Founder, ChinaRen.com and KongZhong
Nick Yang, Founder and CEO, Wukong.com; Founder, ChinaRen.com and KongZhong
Nick Yang, Founder and CEO, Wukong.com; Founder, ChinaRen.com and KongZhong
Nick Yang (MS '99), Founder and CEO, Wukong.com; Co-Founder, ChinaRen.com and KongZhong. He is one of China's most successful digital media entrepreneurs. He started his third venture Wukong in 2008, a mobile internet operation support company for telecom operators and mobile internet distribution network. Mr. Yang is an active Angel investor and involved in many internet and media companies in China. He graduated from Stanford University, master’s degree in electrical engineering in 1999.

 

 

 

Presentation and Discussion Topics

  • How are internet entrepreneurs transforming China’s technology sectors?  Are there any lessons from firms in China for the Valley beyond?  What is the future for US-based internet firms in China?

  • Is China giving birth to truly innovative technologies, processes or business models?  If so, are any of these innovations exportable?

  • How is the Venture Capital /Private Equity industry evolving in China? What patterns, strategies and practices distinguish the most active (and successful) investors?

  • What are the most interesting new developments that will impact the future of China’s internet?  Who comprise the next generation of 2.0 start-ups in China?

  • How is the landscape changing? What are the current key challenges and opportunities?

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Adama Gaye, author, political commentator, and scholar, from Senegal, has joined Stanford University this Academic year as a Visiting Scholar both at the Center on Democracy, Development and the Rule of Law (CDDRL) and at the African Studies Center...He is working on the increasing economic and political relations between China and Africa. China has recently become Africa's number one economic partner ahead of the traditional Western nations States of Europe and the United States of America.

Gaye, the first author to have published a book, in 2006, on this newly growing China-Africa connections under the title: Chine-Afrique -Le dragon et l'autruche (Ed. L'Harmattan, Paris), has been monitoring this relationship since then, notably as a Visiting Fellow at Johns Hopkins University (Washington Dc) and at China's premier University, Peiking University.

A well-known African journalist, Gaye has been a regular commentator on African Affairs for Cnn, AlJazeera, France 24, Radio France Internationale, NPR, The Bbc, CCTV. He has written extensively on African Affairs for Newsweek, Jeune Afrique, Beijing Review; he is a former Editor of the London-based newsweekly, West Africa Magazine, Africa's oldest magazine.

Adama Gaye holds various university degrees, including post-graduate degrees from University Paris 2 and The Pantheon-Sorbonne. He obtained the coveted Oxford Diplomatic Studies Certificate and holds the China Senior Executive Management Certificate jointly delivered by Tsinghua University, China Europe International Business School (CEIBS) and Harvard Business School.

Gaye studied journalism at the University Cheikh Anta Diop of Dakar (Bachelor), in Senegal.

He intends to publish a new book on China-Africa while pursuing his other research interests during his tenure at Stanford. In addition to Africa's international relations, mainly with China, these include the unsteady democratic evolution of Africa and the renewed interests generated by Oil and Gas resources in the continent.

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Political economist Phillip Lipscy spoke recently with Estrategia, a leading Chilean finance and business publication, about the politics of the financial crisis in the Euro Area, as well as what kind of implications it might have for the U.S. and Chinese economies. (Spanish-language interview)
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World War Two, the most violent period in the modern history of Europe and Asia (1937–1945), left deep scars still evident on both continents. Numerous and often conflicting narratives exist about the wartime era, ranging from personal memoirs to official accounts of wartime actions. Many issues, from collaboration to responsibility for war crimes, remain unresolved. In Europe some issues that have been buried for decades, such as the record of collaboration with Nazi occupiers, are now resurfacing. In Northeast Asia, World War Two’s complex, painful legacy continues to impact popular culture, education, diplomacy, and even economic relations.

While differences exist in the wartime circumstances and reconciliation processes of Europe and Asia, many valuable lessons can be gained through a study of the experiences on both continents. The Walter H. Shorenstein Asia-Pacific Research Center (Shorenstein APARC) facilitated a comparative dialogue on World War Two, bringing together 15 noted experts for the Colonialism, Collaboration, and Criminality conference, held June 16 to 17 at Stanford. Each of the event’s five panels paired an Asia and a Europe scholar addressing a common theme.

The debate over remembrance of World War Two

Asia’s relative lack of progress in achieving reconciliation of the painful legacies of the war in Asia and the Pacific continues to bedevil current relations in the region. This is a consequence of the way the Cold War interrupted the resolution of wartime issues and blocked dialogue over the past, particularly between Japan, China, and South Korea, suggested Daniel C. Sneider, associate director for research at Shorenstein APARC. The widely held image of an unrepentant Japan ignores the fierce debate within Japan over wartime memory, often obscured by the prominence of rightwing nationalist views. Meanwhile, within China and Korea, wartime memory is also increasingly contested ground, from the issue of collaboration to the emergence of a more nationalist narrative in China, further complicating relations among those Asian neighbors.

Daniel Chirot, a professor of international studies at the University of Washington, emphasized that immediate postwar economic and security needs, including the growth of Communism, accelerated West Germany’s willingness to reconcile with its Western neighbors. He concurred with Sneider, saying that no such imperative existed in Northeast Asia until the need for economic cooperation three decades after the war. He suggested that the growth of regional integration might, as in Europe, drive Northeast Asia toward greater reconciliation.

Divided memories

Justice for sensitive historical human rights issues, such as World War Two atrocities, bears increasing importance in today’s ever-globalized economic and political climate, stated Thomas Berger, a professor of international relations at Boston University. Berger noted the challenge that Japan’s factional politics poses to a revision of the country’s official wartime narrative, and suggested that a strong regional structure, such as the European Union, could effectively facilitate reconciliation in Northeast Asia.

Frances Gouda, a professor of political science at the University of Amsterdam, examined the use of Anne Frank and former Indonesian president Sukarno as “icons of memory” in Dutch interpretations of World War Two. She asserted that Frank’s victimization allows people to come to terms with Nazi war crimes, but that Sukarno’s vilification as a Japanese collaborator oversimplifies history and allows the Netherlands to avoid confronting its own colonial past.

Collaboration and resistance

France’s Vichy regime, responsible both for collaborating with the Nazis and acting independently to persecute Jewish citizens, remains a painful and unresolved subject in the country’s contemporary quest for national identity, said Julian Jackson, a professor of history at Queen Mary, University of London. He pointed to French president Nicolas Sarkozy’s act of making a national martyr out of Guy Môquet, a young communist who died resisting the German Occupation, as a key example of the complexities involved in trying to come to terms with France’s past.

Ongoing territorial disputes over islands located between Japan and its neighbors in China and Korea are a product of the unresolved legacy of the wartime era in Asia. Sovereignty over those islands was left deliberately unresolved by the 1951 San Francisco Peace Treaty which formally ended the war, suggested Alexis Dudden, a professor of history from the University of Connecticut. As a result, the territorial disputes have become a battleground on which larger questions of historical memory about the war are contested, not only by Japanese conservatives but also by Koreans and Chinese, she said.

Former Japanese Prime Minister Yoshida Shigeru’s press statement at the San Francisco Peace Treaty.

(U.S. National Archives)

Paths to reconciliation

Gi-Wook Shin, director of Shorenstein APARC and a professor of sociology, suggested that while Europe’s experience with war and reconciliation offers lessons for Asia, significant differences exist between the wartime and post-war situations of the two continents, and that reconciliation in Asia requires time. Increased economic interaction between the countries in Northeast Asia serves less to foster reconciliation, he said, than to spur competition for regional dominance. Shin emphasized that the United States, which has greatly impacted the region’s post-war history, can play a critical role as a facilitator in establishing lasting regional accord.

The Nazi regime’s systematic attempt to completely wipe out all traces of Jewish history and culture in Europe, even as closely bound as it was with Germany’s own traditions, is a unique case, stated Fania Oz-Salzberger, a professor of history at Haifa and Monash Universities. She explored universal elements in the German-Jewish reconciliation experience, noting, like Shin and Chirot, the important element of time that is needed to reflect upon painful events of the past. Oz-Salzberger especially spoke of the healing that takes place at the level of society and culture, sometimes even before governments are ready to reconcile with one another.

Continuing political impacts

Gilbert Rozman, a professor of sociology at Princeton University, suggested that Northeast Asia’s wartime history debates will continue to complicate regional relations unless China, Japan, and Korea reach a point of mutual reconciliation. He noted the role that Japan’s government, in the 1980s during its financial heyday, and more recently, China’s leaders during a similarly strong economic era, have played in prolonging the debate. 

Memories of war are transmitted across the years through a complex process involving multiple actors and they can later influence political behavior, explained MIT political science professor Roger Petersen. He described the process within the context of the Lithuania’s successful declaration of independence from the former Soviet Union in January 1991. Petersen stated that Lithuanian émigrés, in part, helped keep the narrative of Soviet aggression and Lithuanian martyrdom alive until the conditions were right for action many decades later.

The Colonialism, Collaboration, and Criminality conference grew out of Shorenstein APARC’s Divided Memories and Reconciliation project, which for the past three years has examined the legacy of war-era memories in Northeast Asia and the United States and explored possible means of reconciliation. Shorenstein APARC has already published the first in a series of four books based on the project, and an edited volume of papers from the June 2011 conference is forthcoming next year.

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Japanese wartime era postcard depicting the seizure of Rehe in northern China in late 1937.
Courtesy Daniel C. Sneider.
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Matthew Boswell oversees SCCEI’s efforts to bring cutting edge, quantitative research on China out of academia and into the public sphere where it can more usefully inform the China debate. His work has been featured in leading media outlets and appeared in The Washington QuarterlyForeign Affairs, and other policy journals. Prior to his role at SCCEI, Matthew led major research projects for the Rural Education Action Program (REAP), now one of SCCEI’s flagship initiatives. He is a fluent Mandarin speaker.  

Associate Director, External Affairs, Stanford Center on China's Economy and Institutions
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The Asia Pacific Observatory (APO) on Health Systems and Policies was established in June 2011. It is a collaborative partnership of interested governments, international agencies, foundations, civil society, and the research community. Modeled on the European Observatory of the same name, the APO has as its main function the collection and analysis of information and research evidence on health care systems, policies, and reforms, with the aim of making this knowledge widely available and easily accessible throughout the Asia Pacific Region; it will also draw cross-country lessons and disseminate these in formats that can be directly used for policymaking.

This presentation will trace the history underlying the creation of the Observatory and indicate its objectives, organizational structure, and proposed modes of operation. It will describe the challenges of attempting to bring a wide range of stakeholders together in support of a regional collaborative research effort. It will also touch on ways that research entities located outside the Asia Pacific region might interact with the APO.

L. Richard Meyers was employed by the World Bank for two decades managing teams that carried out World Bank health sector projects and analytical work in a number of countries in East Asia. He directed a team that produced the first comprehensive health sector review for Vietnam, as well as the first Vietnam National Health Survey.  He also led a team that produced the most comprehensive and empirically-based external analysis to date of the rural health sector in China. More recently he has worked with the European Health Observatory, the Asian Development Bank, the World Bank, the WHO Western Pacific and South Asia regional offices, and other stakeholders to facilitate the creation of the Asia Pacific Observatory.

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L. Richard Meyers Consultant Speaker World Bank
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Studies show high levels of anemia, nearsightedness, intestinal worms, and poor health and sanitation among children in China’s rural boarding schools. This project is first measuring initial health and nutrition levels of students in a randomized control setting, then deploying a toolkit of affordable and sustainable interventions in a set of treatment schools that includes multivitamins, eyeglasses, deworming medication, and nutrition and sanitation training for parents and educators. Finally, the project will assess what works and what does not by comparing improvements in academic performance in treatment and control groups. The results of this experiment are intended to inform education and nutrition policy in China at the central and provincial levels.

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Faculty Co-director of the Stanford Center on China's Economy and Institutions
Helen F. Farnsworth Endowed Professorship
Senior Fellow at the Freeman Spogli Institute for International Studies
Senior Fellow at the Stanford Institute for Economic Policy Research
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Scott Rozelle is the Helen F. Farnsworth Senior Fellow and the co-director of Stanford Center on China's Economy and Institutions in the Freeman Spogli Institute for International Studies and Stanford Institute for Economic Policy Research at Stanford University. He received his BS from the University of California, Berkeley, and his MS and PhD from Cornell University. Previously, Rozelle was a professor at the University of California, Davis and an assistant professor in Stanford’s Food Research Institute and department of economics. He currently is a member of several organizations, including the American Economics Association, the International Association for Agricultural Economists, and the Association for Asian Studies. Rozelle also serves on the editorial boards of Economic Development and Cultural Change, Agricultural Economics, the Australian Journal of Agricultural and Resource Economics, and the China Economic Review.

His research focuses almost exclusively on China and is concerned with: agricultural policy, including the supply, demand, and trade in agricultural projects; the emergence and evolution of markets and other economic institutions in the transition process and their implications for equity and efficiency; and the economics of poverty and inequality, with an emphasis on rural education, health and nutrition.

Rozelle's papers have been published in top academic journals, including Science, Nature, American Economic Review, and the Journal of Economic Literature. His book, Invisible China: How the Urban-Rural Divide Threatens China’s Rise, was published in 2020 by The University of Chicago Press. He is fluent in Chinese and has established a research program in which he has close working ties with several Chinese collaborators and policymakers. For the past 20 years, Rozelle has been the chair of the International Advisory Board of the Center for Chinese Agricultural Policy; a co-director of the University of California's Agricultural Issues Center; and a member of Stanford's Walter H. Shorenstein Asia-Pacific Research Center and the Center on Food Security and the Environment.

In recognition of his outstanding achievements, Rozelle has received numerous honors and awards, including the Friendship Award in 2008, the highest award given to a non-Chinese by the Premier; and the National Science and Technology Collaboration Award in 2009 for scientific achievement in collaborative research.

Faculty affiliate at the Center on Democracy, Development, and the Rule of Law
Faculty Affiliate at the Walter H. Shorenstein Asia-Pacific Research Center
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Senior Fellow, Freeman Spogli Institute for International Studies
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Dr. Paul Wise is dedicated to bridging the fields of child health equity, public policy, and international security studies. He is the Richard E. Behrman Professor of Child Health and Society and Professor of Pediatrics, Division of Neonatology and Developmental Medicine, and Health Policy at Stanford University. He is also co-Director, Stanford Center for Prematurity Research and a Senior Fellow in the Center on Democracy, Development, and the Rule of Law, and the Center for International Security and Cooperation, Freeman Spogli Institute for International Studies, Stanford University. Wise is a fellow of the American Academy of Arts and Sciences and has been working as the Juvenile Care Monitor for the U.S. Federal Court overseeing the treatment of migrant children in U.S. border detention facilities.

Wise received his A.B. degree summa cum laude in Latin American Studies and his M.D. degree from Cornell University, a Master of Public Health degree from the Harvard School of Public Health and did his pediatric training at the Children’s Hospital in Boston. His former positions include Director of Emergency and Primary Care Services at Boston Children’s Hospital, Director of the Harvard Institute for Reproductive and Child Health, Vice-Chief of the Division of Social Medicine and Health Inequalities at the Brigham and Women’s Hospital and Harvard Medical School and was the founding Director or the Center for Policy, Outcomes and Prevention, Stanford University School of Medicine. He has served in a variety of professional and consultative roles, including Special Assistant to the U.S. Surgeon General, Chair of the Steering Committee of the NIH Global Network for Women’s and Children’s Health Research, Chair of the Strategic Planning Task Force of the Secretary’s Committee on Genetics, Health and Society, a member of the Advisory Council of the National Institute of Child Health and Human Development, NIH, and the Health and Human Secretary’s Advisory Committee on Infant and Maternal Mortality.

Wise’s most recent U.S.-focused work has addressed disparities in birth outcomes, regionalized specialty care for children, and Medicaid. His international work has focused on women’s and child health in violent and politically complex environments, including Ukraine, Gaza, Central America, Venezuela, and children in detention on the U.S.-Mexico border.  

Core Faculty, Center on Democracy, Development and the Rule of Law
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Paul H. Wise professor of pediatrics; FSI senior fellow Speaker
Patricia Foo MD/PhD student in economics Speaker
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Evgeny Morozov
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In a piece for the Wall Street Journal on August 13, visiting scholar Evgeny Morozov cautions Western nations to be mindful of the dangerous precedent they set to authoritarian regimes when monitoring Internet content. While recent events in Norway and London may compel governments to employ surveillance tools, Morozov argues that Beijing and Tehran will be vindicated by their own repressive policies.

Did the youthful rioters who roamed the streets of London, Manchester and other British cities expect to see their photos scrutinized by angry Internet users, keen to identify the miscreants? In the immediate aftermath of the riots, many cyber-vigilantes turned to Facebook, Flickr and other social networking sites to study pictures of the violence. Some computer-savvy members even volunteered to automate the process by using software to compare rioters' faces with faces pictured elsewhere on the Internet.

The rioting youths were not exactly Luddites either. They used BlackBerrys to send their messages, avoiding more visible platforms like Facebook and Twitter. It's telling that they looted many stores selling fancy electronics. The path is short, it would seem, from "digital natives" to "digital restives."

As social media's role in the London riots is explored, British politicians are considering whether temporarily banning or censoring sites like Twitter and Facebook would quell or enflame the tensions, Cassell Bryan-Low reports from London.

Technology has empowered all sides in this skirmish: the rioters, the vigilantes, the government and even the ordinary citizens eager to help. But it has empowered all of them to different degrees. As the British police, armed with the latest facial-recognition technology, go through the footage captured by their numerous closed-circuit TV cameras and study chat transcripts and geolocation data, they are likely to identify many of the culprits.

Such regimes are eager to see what kind of precedents will be set by Western officials as they wrestle with these evolving technologiesAuthoritarian states are monitoring these developments closely. Chinese state media, for one, blamed the riots on a lack of Chinese-style controls over social media. Such regimes are eager to see what kind of precedents will be set by Western officials as they wrestle with these evolving technologies. They hope for at least partial vindication of their own repressive policies.

Some British politicians quickly called on the BlackBerry maker Research in Motion to suspend its messaging service to avoid an escalation of the riots. On Thursday, Prime Minister David Cameron said that the government should consider blocking access to social media for people who plot violence or disorder.

After the recent massacre in Norway, many European politicians voiced their concern that anonymous anti-immigrant comments on the Web were inciting extremism. They are now debating ways to limit online anonymity.

Does the Internet really need an overhaul of norms, laws and technologies that gives more control to governments? When the Egyptian secret police can purchase Western technology that allows them to eavesdrop on the Skype calls of dissidents, it seems unlikely that American and European intelligence agencies have no means of listening the calls of, say, a loner in Norway.

We tolerate such drastic proposals only because acts of terror briefly deprive us of the ability to think straight. We are also distracted by the universal tendency to imagine technology as a liberating force; it keeps us from noticing that governments already have more power than is healthy.

The domestic challenges posed by the Internet demand a measured, cautious response in the West. Leaders in Beijing, Tehran and elsewhere are awaiting our wrong-headed moves, which would allow them to claim an international license for dealing with their own protests. The yare also looking for tools and strategies that might improve their own digital surveillance.

After violent riots in 2009, Chinese officials had no qualms about cutting off the Xinjiang region's Internet access for 10 months. Still, they would surely welcome a formal excuse for such drastic measures if the West should decide to take similar measures in dealing with disorder. Likewise, any plan in the U.S. or Europe to engage in online behavioral profiling—trying to identify future terrorists based on their tweets, gaming habits or social networking activity—is likely to boost the already booming data-mining industry. It would not take long for such tools to find their way to repressive states.

But something even more important is at stake here. To the rest of the world, the efforts of Western nations, and especially the U.S., to promote democracy abroad have often smacked of hypocrisy. How could the West lecture others while struggling to cope with its own internal social contradictions? Other countries could live with this hypocrisy as long as the West held firm in promoting its ideals abroad. But this double game is harder to maintain in the Internet era.

In their concern to stop not just mob violence but commercial crimes like piracy and file-sharing, Western politicians have proposed new tools for examining Web traffic and changes in the basic architecture of the Internet to simplify surveillance. What they fail to see is that such measures can also affect the fate of dissidents in places like China and Iran. Likewise, how European politicians handle online anonymity will influence the policies of sites like Facebook, which, in turn, will affect the political behavior of those who use social media in the Middle East.

Should America and Europe abandon any pretense of even wanting to promote democracy abroad? Or should they try to figure out how to increase the resilience of their political institutions in the face of the Internet? As much as our leaders might congratulate themselves for embracing the revolutionary potential of these new technologies, they have shown little evidence of being able to think about them in a nuanced and principled way.

 

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