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Thailand Startup News  Sep 09, 2019

US Startup Zoom’s Remote Conferencing Services Banned In China

US Startup Zoom’s Remote Conferencing Services Banned In China
Thailand Startup News  Sep 09, 2019
Zoom Video Communications which is a US company based in San Jose, had its video conferencing and also  other conferencing software and apps blocked in China since Monday morning, joining a list of inaccessible internet services in the country.



Zoom provides remote conferencing services using cloud computing and offers communications software that combines video conferencing, online meetings, chat, and mobile collaboration.

The ban of US-based Zoom comes as both The US and China continue a protracted battle over technology and trade.
Despite an increasingly restrictive internet in China, domestic apps with video conferencing and productivity features are on the rise, including Alibaba’s DingTalk and Tencent’s WeChat Work.
 
In the lead-up to China’s 70th anniversary in October, retaining social and economic stability is a high priority for Beijing. There is already an anticipation that more and more US software, apps and also startups will be banned access to the Chinese market and instead will be replaced by made in China ones.
 
To a certain degree the US and China Trade war along with Trumps decisions to give Hua Wei a hard time in accessing American platforms is actually going to backfire on America as the Chinese are now even more motivated and also rapidly advancing into developing lots of new tech platforms ad apps to replace the American ones  at even better quality and costs.
Mainland Chinese users first began complaining that Zoom was no longer available from within the country starting late Sunday night and attempts to access the app in China resulted in connection problems.
 
Zoom later confirmed the problem, adding that it was still investigating the issue. In the next few hours Zoom engineers identified that the issue was caused by corrupting local DNS, referring to a common method of blocking websites in China.
 
Zoom nor the China authorities were available for comment but local Chinese media confirmed that Zoom was blocked for good in China.
 
Zoom was a startup that was founded by founder,  China born Eric S Yuan, a lead engineer from Cisco Systems in 2011. Eric later became a US National. Zoom raised US$751 million in its initial public offering on Nasdaq in April 2019. The company recorded total revenue of $145.8 million for the quarter ending July 2019, a 96% year-over-year increase over the same period a year earlier. Security expert Jonathan Leitschuh publicized in July 2019 a vulnerability that could affect the four million Zoom users who use Macs. Zoom also has a collaboration with US Microsoft.
 
The ban is causing a lot of users to switch to Chinse based platforms especially Alibaba’s DingTalk that reported a huge surge in new users over the last 6 hours with almost 280,000 new users.