According to reports following news in the Beijing Times last week that Microsoft had won a three-year, $3.6 million contract to supply that city's municipal government, there is criticism that foreign companies are winning such business.
The contract comes in the same week thatinked a $10 million agreement with Chinese education authorities. One of Dell's key long-term rivals is likely to be China-based , previously known as Legend.
Some government officials have spoken out, saying the deals may not only be bad for domestic vendors but also potentially in violation of a procurement law brought in at the start of last year.
China is already a big market for Microsoft and some other Western IT vendors, but the rise of, an open-source operating system collaboration between the governments of China, Japan and South Korea, points to those countries .