Most, if not all, of the relocating companies are from China, and have been affected by the raging trade war between two of the biggest economies in the world, which also benefited Vietnam.
Chang said many of the companies that may return to Taiwan are concerned about China’s requirement to transfer technology and its intellectual-property violations—two of the charges hurled by the Trump administration against Beijing.
https://businessmirror.com.ph/2019/12/11/taiwan-leans-on-rd-to-expand-fish-exports/
Both companies are known on the local Chinese OS market. CS2C created “China's Windows XP clone,” known as the NeoKylin OS, and TKC is the current steward of Kylin, China's first-ever homegrown operating system. CS2C and TKC plan to set up a new company in which they'll become investors, and through which the new joint OS will be developed.
The roots of both operating systems reside in the original Kylin operating system, created in 2001 by academics at the National University of Defense Technology.
The original Kylin OS was based on FreeBSD and was developed via the popular 863 Program, a government fund set up in the 80s to stimulate the development of local tech to help China reach independence from foreign technologies.
NeoKylin is the only Chinese-made OS to support all six major “domestic CPUs” — namely Feiteng, Godson, Zhaoxin, Shenwei, Haiguang, and Kunpeng.
Currently, many apps that run on Kylin won't run on NeoKylin, and vice-versa, creating problems with managing a nation-wide IT system without unwanted friction and incompatibilities.
With a plan to rip out all foreign hardware and software from government systems within three years, orders likely came down from Beijing to unite the two OSes into a common platform.
The Beijing government is well known for its heavy-handed approach to controlling the local tech market, primarily through state-owned companies and generous government subsidies.