What was unclear in the Xinhua report is whether this new operating system will be limited to Chinese users, or be offered internationally. Based on the comments from Ni, it seems, at least in the short-term, the former is more likely.
Additionally, as recent as 2012, another Asian concern, India’s Defense Research and Development Organization (DRDO), announced that it was developing the India Operating System. The desire is to design an OS that will secure India’s Cyber network.
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Wonder what wonderful back doors they’re going to put them.