Why Chinese Tech Companies Are Entering The U.S. Earlier Than Ever

Dec 24, 2016 by

One of the major under-currents motivating Chinese companies to have a strong presence in the U.S. is pure globalization.

The technology industry and especially software is the quickest to globalize. The constraint to expand or even start in a foreign market generally isn’t the technology – it’s understanding and adapting to a new culture.

Unlike the first generation of giant Chinese internet companies like Baidu, Alibaba and Tencent (BAT); the Chinese tech startups of today are expanding or even starting in Silicon Valley earlier than ever. Now that China’s technology, especially in mobile in largely caught up to the U.S. or in some cases more advanced, there are more reasons to enter the U.S. faster.

So why is this happening?

One of the major under-currents motivating Chinese companies to have a strong presence in the U.S. is pure globalization. In 2010, the U.S. and China agreed to a new reciprocal 10-year visa, allowing citizens from each country to travel between the two countries on a single visa. Over the past five years, the number of Chinese students enrolled in the U.S. has sky rocketed from 50,000 in 2000 to over 300,000 in 2015.

Source: Why Chinese Tech Companies Are Entering The U.S. Earlier Than Ever

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