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China is offering a new vision of the internet, one which combines sweeping content curbs with uncompromising data controls.
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The idea is called Cybersovereignty and it's already spreading around the world.
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This is your Bloomberg QuickTake on the new Cyber Cold War.
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Welcome!
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It's the new millennium, and a simpler time for the internet.
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Western tech pioneers proclaim it's a borderless force for transparency and individual freedom.
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But fast forward to now
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and that's being challenged like never before.
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A massive cyber attack affecting nearly 50 million Facebook users.
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And it was my mistake, and I'm sorry.
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Even if you're not doing anything wrong, you're being watched.
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You want to win a war, you need weapons for that.
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And we could build them.
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There's been a global backlash against Facebook, Google, WhatsApp.
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This backlash coincides with the rise of the Chinese model.
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Today you have governments from Russia to Southeast Asia saying, hang on, we get to control content on the internet
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and at the same time there is not an impediment to stunning economic growth.
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It's an ideological coup and a rejection
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of the American internet model, which promised to spur
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innovation and freedom.
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Now China is offering a different vision: both internet control and tech innovation, and it has fans.
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Today, there would be a growing number of people
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who would argue that controlling the flow of information
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across the internet does not actually impede innovation.
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The crux of the Chinese internet model is based around the nation state.
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Setting your own rules for your own citizens
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that can't be circumvented by the internet.
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So very simply, they want to control
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what sort of content is hosted on the internet
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that's available to Chinese users
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and they want absolute control over that content.
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So if they decide, for instance, that they don't want
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any references to the Tiananmen Massacre from 1989,
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then they will scrub that out of every website and every app
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within the country that Chinese or consumers can see.
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And this controlled, moderated version of the internet
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is spreading, especially across Southeast Asia.
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Vietnam's controversial version
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of the Chinese internet model went into effect in 2019.
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It demands the data of Vietnamese users
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is kept in the country.
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Indonesia, Southeast Asia's largest economy,
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already requires data to be stored locally.
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The Philippines has stepped up
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what critics call a media crackdown
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and one of the latest to buy into the rationale
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is Thailand, which passed a cyber security bill
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modeled on China's.
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Southeast Asia is the testing ground for Chinese ambitions.
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The region is home to more than half a billion people
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whose internet economy is expected to triple
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to 240 billion dollars by 2025.
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I think a lot of Chinese companies,
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and potentially Beijing itself,
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see Southeast Asia as the first step in
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expanding their influence globally
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but that's when the digital Cold War kind of differs from
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the Cold War we're familiar with.
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In this case, I think countries are adopting
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the Chinese style model without necessarily subscribing
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to Beijing's style of government and/or Beijing's agenda.
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China's version of the internet is appealing
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to other nations who want to control
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what their populations see and hear,
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but it doesn't mean China's calling the shots.
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Instead it could create an unprecedented bifurcation
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of the internet, effectively ending our notion
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of a truly worldwide web,
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meaning what information you can easily access
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would depend on where you are
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and what that government decides you should know.