BEIJING, June 10 Microsoft Corp will
work with Chinese Internet security specialist Qihoo 360
Technology Co on mobile Internet and artificial
intelligence technology, state media reported, as the U.S.
software giant fights security concerns in the country.
Microsoft and Qihoo on Monday signed a deal to "cooperate in
mobile Internet products" and "technology exchanges in
artificial intelligence", the official Xinhua news agency
reported, citing the Microsoft Search Technology Center Asia.
The tie-up with Qihoo, known for its security software,
mobile application store and search engine, comes as Microsoft
struggles with scrutiny from China's government and state-owned
businesses over the security of its products.
U.S. technology companies are battling anti-American
sentiment in China. Firms like Microsoft, Apple Inc and
Google Inc have been accused by state media of working
with the U.S. government in cyber-espionage, with doubts raised
about their products' security.
Microsoft and Qihoo declined to provide immediate comment on
Microsoft has suffered a string of setbacks in China. Last
month, China's central government procurement office issued a
notice that new computers would not be allowed to have its
latest Windows 8 operating system installed.
State media have also pitched in, calling last week for
"severe punishment" for Microsoft and other tech firms for
acting as "lackeys" of the U.S. government.
State broadcaster CCTV broadcast a special segment on Windows 8
which said the operating system was not secure and could be used
to access private data.
Last week, Microsoft's Craig Mundie, former chief strategy
officer and now a senior adviser to the firm, met senior
officials from China's State Council Information Office (SCIO)
and discussed Internet security issues, according to the SCIO
(Reporting by Paul Carsten; Editing by Kenneth Maxwell)