IBM Multinational Headquarters In Madrid (Photo : Getty Images)
International Business Machines (IBM) has given in to the pressure from the Chinese government to provide Beijing access to its source code as proof there are no security risks.
However, IBM said to Forbes that it is not the first American firm to open its source code to Beijing. IBM said that Microsoft and Apple had also allowed Chinese officials to look into their software, reports Engadget.
The Wall Street Journal, in an exclusive report, cited two people briefed on the practice, as knowledgeable of IBM's granting China permission to review some product source code in a secure room.
Officials from China's Ministry of Industry and Information Technology examined the proprietary source code, but they could not remove it from the room. However, the WSJ sources did not identify which products IBM provided access or how long the Chinese officials reviewed the source code.
IBM confirmed it with a statement that "Strict procedures are in place within these technology demonstration centers to ensure that no software source code in released, copied or altered in any way."
The technology giant adds that no government access to client data were given to the Chinese officials or back doors into its technology were built.
IBM Senior Vice President Steve Mills said in a speech in Beijing on Thursday hinted that the company allowed Chinese officials access because IBM needs the support of the Chinese government for its growth in China to continue, according to Chinese media accounts.
Although many American businesses are interested in expanding further in China's information technology market, currently valued by Gartner at $136 billion, the companies want to present a united stand against China's demand to access their source codes for fear it would place proprietary information in the hands of Chinese companies that make rival products at much lower prices.
