Feeds

Meet Shenzhen, tech capital of China

El Reg journeys to the city where much of our tech is made

Top three mobile application threats

Gartner’s Sheng, however, argued that heart of the region – the small, independent supply chain and white box manufacturers – will remain intact.

“I don’t think that the white box players will move out in the near future. The big [ODMs] like Foxconn will get subsidies and grants and lower labour costs [by moving] but the smaller guys can’t get these benefits from local government,” he said.

“Many of these factory owners are local people, from Guangdong, so it’s not easy for them to move.”

Forrester's Wang told The Reg that Chengdu and Chongqing in western China are already emerging as new manufacturing hubs for PCs and phones thanks to lower wages and local government incentives.

“However, we do not expect any of these cities will challenge Shenzhen in terms of the size and completeness of the supply chain in the next five to ten years,” he added.

Aside from the obvious environmental impact - the air quality in Shenzhen is pretty abysmal, like most Chinese cities - there's also a human cost to all of this technology. The labour rights violations of local supplier factories run by the likes of Foxconn, VTech, HEG and others to supply the big tech brands are well documented.

Shenzhen downtown

According to China Labour Bulletin spokesman, Geoff Crothall, workers in the smaller white box factories and workshops are even more poorly paid than their counterparts on the Foxconn shop floor, although the working environment might be less stressful.

“Low pay has undoubtedly been one of the PRD's main competitive advantages, along with good logistics and business oriented government,” he told The Reg. “What it also has now is a pool of highly skilled and experienced labour at a managerial level as well as a supply of slightly more expensive unskilled labour. So although the ‘sweatshop’ model may eventually go out of business, the PRD will as the local government hopes, gradually move up the value chain.”

It looks like Shenzhen will retain its crown as the tech manufacturing centre of China for some years to come. ®

3 Big data security analytics techniques

More from The Register

next story
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
Sorry London, Europe's top tech city is Munich
New 'Atlas of ICT Activity' finds innovation isn't happening at Silicon Roundabout
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
prev story

Whitepapers

Designing a defence for mobile apps
In this whitepaper learn the various considerations for defending mobile applications; from the mobile application architecture itself to the myriad testing technologies needed to properly assess mobile applications risk.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.