Internet.org: Making Internet Access Available to the Next Five Billion People for Free

In the previous post, I talk about new efforts by technology companies across a variety of sectors to bridge the digital divide by connecting billions of people whom have no access to internet-based communication services. I highlighted Mark Zuckerberg's, Founder, Chairman and Chief Executive Officer of Facebook, keynote appearance at Mobile World Congress 2014, which focused on connecting billions of people in emerging markets to the Internet by offering basic connectivity for free. "Why are the next two billion not on the internet?" he asked. "The reason is not because they don't have any money, it's because they don't know the value of having a data plan or the services they can access." There is an intrinsic value to having people worldwide connected to the internet and this blog post will discuss Internet.org in greater detail including specific efforts the organization is undertaking to connect billions of people to the internet.

According to its website, Internet.org, which was launched in 2013, "is a global partnership between technology leaders, nonprofits, local communities and experts who are working together to bring the internet to the two thirds of the world's population that doesn't have it." Possessing the goal of making internet access available to the next five billion people for free, Internet.org's founding members include Facebook, Ericsson, MediaTek, Nokia, Opera, Qualcomm and Samsung. The organization will explore solutions in three major opportunity areas: affordability, efficiency and business models.

With respect to affordability, "Internet.org partners will join forces to develop technology that decreases the cost of delivering data to people worldwide, and helps expand internet access in underserved communities." On efficiency, "Transmitting data—even a text message or a simple web page—requires bandwidth, something that's scarce in many parts of the world. Partners will invest in tools and software to improve data compression capabilities and make data networks and services run more efficiently." And I agree with the organization's outline on business models: "Connecting billions of people will be a massive global effort that requires ongoing innovation." Internet.org explains that "developers, mobile operators and device manufacturers will work together to introduce business models that give people more ways to go online."

The Internet.org Innovation Lab was launched earlier this year, which is a collaboration between Ericsson and Facebook that will provide developers with the ability to test their apps in real world environments at Facebook's headquarters in Menlo Park, Calif. In a press release dated February 24, 2014, Stockholm, Sweden-based Ericsson said, "The lab will help remove one of the key physical barriers that exist for bringing the Internet to everyone. Developers today typically only have access to the network environment of their physical location." Furthermore, "With consumers today operating in different network environments (2G, 3G, 4G, WiFi) on multiple mobile operating systems and a wide range of devices, the complexity involved for developers can be overwhelming. The joint innovation lab will facilitate multiple network environments for testing and optimization, all in one location."

Once the remaining five billion people are able to connect to the internet, they will have access to value-added services that will assist individuals with learning or improving English language skills; educate individuals on health, sanitation, well-being and preventable diseases; provide farmers with critical and timely information on best practices, pricing, and weather; and facilitate the growth and development of small and medium-sized enterprises.

In this video produced by Internet.org, Mr. Zuckerberg explains the plan to make basic internet services affordable so everyone with a phone can join the knowledge economy:


Aaron Rose is a board member, corporate advisor, and co-founder of great companies. He also serves as the editor of GT Perspectives, an online forum focused on turning perspective into opportunity.

2014 Mobile World Congress: Connecting Emerging Economies to the Mobile Internet

Attracting more than 85,000 visitors from 201 countries, the 2014 GSMA Mobile World Congress (MWC14) took place in Barcelona, Spain from Feb. 24-27, 2014. As outlined in a GSMA press release, "The four-day conference and exhibition attracted executives from the world's largest and most influential mobile operators, software companies, equipment providers, Internet companies and companies from industry sectors such as automotive, finance and healthcare, as well as government delegations from across the globe." While several themes were addressed at MWC14, this was the first year the mobile phone use and Internet connectivity in emerging economies and developing countries was a significant focus at a Mobile World Congress.

Low-cost smartphones designed specifically for emerging economies was a significant theme at MWC14. While they may not have the high-quality components installed (e.g., processors or displays), these smartphones will allow people in emerging economies to access the Internet via mobile broadband connectivity. Supporting this theme, U.S.-based Mozilla said it will launch a US$25 smartphone running its Firefox OS. Mozilla's press release said the SC6821 "redefines the entry level for smartphones in key growth markets."

Mozilla also announced that its "Firefox OS will be expanding into important new markets in 2014. Telefónica will build on the list of countries where it's selling Firefox OS phones, with eight more launching this year: Argentina, Costa Rica, Ecuador, El Salvador, Germany, Guatemala, Nicaragua and Panama. Deutsche Telekom will also add four new markets: Croatia, the Czech Republic, Macedonia and Montenegro." Importantly for app and web-content developers like ROI3, Inc., "Firefox OS devices are the first devices built entirely to open Web standards, with every feature developed as an HTML5 application."

In his keynote appearance, Mark Zuckerberg, Founder, Chairman and Chief Executive Officer of Facebook, talked about connecting billions of people in emerging markets to the Internet by offering basic connectivity for free. "Why are the next two billion not on the internet?" he asked. "The reason is not because they don't have any money, it's because they don't know the value of having a data plan or the services they can access."

Photo: Mobile World Live

Launched in August 2013, Internet.org is a global partnership, whose founding members include Facebook, Ericsson, MediaTek, Nokia, Opera, Qualcomm and Samsung, possessing the goal of making internet access available to the next five billion people for free. Referencing the aim of Internet.org during his keynote, Mr. Zuckerberg said, "Only 2.7 billion people have access to the Internet and it's growing more slowly than you think. The main cost is not the smartphone; it's the cost of the data access. We are really not on a path at this point to connect everyone in the world." He suggests that connecting billions to the Internet for free can be achieved within 5-10 years in two ways: (1) significantly reducing network costs to deliver data and (2) building more efficient applications to reduce data usage.

During MWC14, GSMA and Facebook, through its Internet.org partnership, announced "a joint initiative designed to connect the billions of men and women globally that currently have no access to Internet-based communications services." The press release further explains, "The joint initiative will focus on reducing the total cost of ownership (TCO) of mobile, given that mobile will be the enabling technology for the vast majority of people in developing markets." Moreover, "The activities undertaken by the GSMA and Facebook will entail working with governments in developing markets to address key factors that have an impact on affordability and availability."

With a focus on developing mLearning apps and web-content optimized for mobile phones and tablets for people in emerging economies and developing countries, it is very encouraging to see a focus on broadening Internet connectivity worldwide at MWC14. I agree with Mr. Zuckerberg when he said, "[Internet access] is really important, because connectivity is not an end in itself. It's what connectivity can bring."

Aaron Rose is a board member, corporate advisor, and co-founder of great companies. He also serves as the editor of GT Perspectives, an online forum focused on turning perspective into opportunity.

Health, Wearables, and Mobile Shine at 2014 International CES

150,000 industry professionals, including more than 35,000 from outside the United States, attended the 2014 International CES from January 7-10, 2014. In a press release, Gary Shapiro, president and CEO of Consumer Electronics Association, which owns and produces CES, said, "This year's show was an energizing display of where the future is headed, bringing to life cool new products from every industry that touches technology. One-third of the world’s population interacted with CES in some way this week as we experienced the future. From curved and flexible Ultra HD TVs and next generation smart phones to drones, robots, sensors, the Internet of Everything, Hi-Res audio, connected cars and 3D printers, it seems like the only thing missing from the 2014 CES was a time-travel machine." Here are some of my observations attending the event in Las Vegas, Nev.

Several companies exhibited their digital health and fitness, and wearable technology products and services, some of which are highlighted in these videos: "Digital Health & Fitness Highlights: 2014 CES" and "Wearable Tech Highlights: 2014 CES." I saw the Kolibree Smart Toothbrush, LG Lifeband Touch fitness activity monitor, Reebok CrossCheck, and Sleep Number X12 Smart Bed. I even witnessed Shaquille O'neal checking out the Fitbit booth. While an increasingly crowded sector, I do not have any doubts that fitness and wearable technology will grow rapidly in the coming years as people seek to monitor their health and daily activity.

Specifically to mobile technology, I saw the latest smartphones and tablets that will be available to consumers in 2014 including the Huawei Ascend Mate2, 4G Lenovo ThinkPad 8, and Samsung Galaxy NotePRO 12.2. This year's devices possess faster processors and higher quality screens. Moreover, NVIDIA unveiled the Tegra K1 mobile processor, which, for the first time, next-generation PC gaming will now be available on mobile platforms. These developments will allow app and web-content developers like ROI3, Inc. to produce an experience for consumers on their mobile devices that they already experience via personal computers. Here is a video that provides highlights from the mobile tech sector at CES.



I also attended the second annual CEA MoDev Hackathon that featured nearly 100 developers competing individually and as teams for up to $100,000 in cash and prizes. As explained in this press release, "Apps were awarded for innovative integration with Microsoft, Amazon, Samsung, Sony and Modev." Furthermore, "App Projects from Travel Channel Cities Metro, Travel Offers, Travel Swipe, Travel Channel Navigator and Travel Live were awarded top honors. The Journey Live app was selected as the grand prize winner."

Lastly, the Mobile Apps Showdown competition featured four-minute elevator-pitch-style presentations from 10 semifinalist app developers selected ahead of time by a team of expert panelists and Living in Digital Times readers. Password Box, an innovative, free password manager, with secure digital wallet features for your iPhone, iPad and desktop devices, won the top showdown prize. Ballerz, an iOS app that helps players find pickup basketball games in their area based on skill level, was the online showdown winner. A group of active duty naval officers who found that playing sports reduced stress and boosted morale on the base developed Ballerz.

Aaron Rose serves as President and CEO of ROI3, Inc., a Seattle, Wash.-based company that empowers people in emerging economies through innovative, technology-based solutions. He is also the editor of Solutions for a Sustainable World.

Hackathon Where Wearables and Gaming Come Together

Photo of Alex Donn: AT&T Mobility

While writing my previous post about the 2014 AT&T Developer Summit, I located my notes from the AT&T | SIC Mobile App Hackathon - Wearables event that I attended on October 26-27, 2013 in Seattle, Wash. Focused on wearables and gaming apps, I attended this event to learn what great ideas people are generating that can help live a healthier lifestyle or overcome physical or mental ailments. Many of the apps produced complement the mHealth app that my colleagues and I are developing that provides health and wellness information to people with mobile devices in emerging economies. While Alex Donn, Developer Evangelist at AT&T Mobility, wrote a summary of the event on the AT&T Developer Blog, there are a couple of items worth mentioning in this post.

18 teams presented during the hackathon, which produced five finalists that made subsequent presentations for prizes at the Seattle Interactive Conference on October 29, 2013. While not among the top three winners, I was impressed with the SmartChair, which allows a user to monitor the time he or has is sitting and notifies the user when it is time to take a break. Too many people, myself included, spend long hours sitting at a desk for long periods of time. We get focused on completing our tasks and fail to take breaks that are good for mental and physical well being. A device like SmartChair will result in a healthier working environment, which will produce fewer health issues and a reduction of medical costs.

I also appreciated the app produced by GoalPhysics that provides "breakthrough performance through big data, not drugs." Winning third third place overall, this app collects large amounts of data from athletes wearing apparel with integrated sensors. Not only does this app provide a competitive edge for professional athletes where hundredths of a second could separate a winner from a tenth place finisher, but the recreational athlete may benefit from collecting large amounts of their performance data, in real-time, during exercise routines to learn areas of strengths and weaknesses.

A video of the presentations of the five finalists may be viewed through this link or the video embedded below (GoalPhysics is the first presenting team):



Aaron Rose is an advisor to talented entrepreneurs and co-founder of great companies. He also serves as the editor of Solutions for a Sustainable World.

2014 AT&T Developer Summit

I attended the AT&T Developer Summit from January 4-6, 2014 in Las Vegas, Nev. The three-day event consisted of a mobile app hackathon, executive panels, and speaking sessions. This was my second year attending the AT&T event, which I find valuable in meeting developers and technology entrepreneurs, as well as learning about the latest trends in mobile technology.

With cash and prizes totaling over $200,000, more than 100 teams developed an app during the hackathon. Participants at this year's hackathon were able to choose between a Wearables Track and an AT&T API Track. You can read about the winning teams at this link on the AT&T Developer Blog.

25 panels and speaking sessions were scheduled during this year's conference. I particularly found value in attending "Let’s Drop the 'Mobile' from Web Development" by Doug Sillars, Performance/Optimization Lead, Developer Advocacy at AT&T. Noting that "with a plethora of platforms and buckets of browsers (each contributing a variety of versions), displaying content uniformly can be a challenge. The growth of mobile devices has exponentially expanded the landscape (and additionally added a sundry of screen sizes). Is developing separate experiences for mobile and desktop users really the best way to reach your users?" With a greater percentage of people accessing the Internet through mobile devices, Dr. Sillars presented a question that many developers ask: Is developing separate experiences for mobile and desktop users really the best way to reach your users?

In his presentation, Dr. Sillars explained, "There is no more 'Mobile Web', it is all just 'The Web' on different screens." He noted that greater than 50 percent of Amazon.com's customers shopped via a mobile device mobile during the 2013 holiday season and in September 2013, the number mobile unique visitors equalled those accessing ESPN.com on a desktop. Furthermore, Dr. Sillars said page size and speed index are essential to keeping customers engaged with your site. An ideal website accessed through a mobile device should upload in less than three seconds.

Another presentation worth discussing in this post is "Building an Amazing Mobile Experience for Multiple Devices" by Lotus Chen, Chief Technology Officer of Taiwan based-ASUS. Noting that Android is the world's most popular mobile operating system during his presentation, Mr. Chen said mobile content developers are facing an increasing challenge of developing content with a consistent user interface (UI) design given that Android powers many different device types with different screen sizes and form factors, ranging from small-size phones, mid-size tablets, to large television sets.

With respect to supporting different screen sizes, Mr. Chen recommends optimizing the layout by providing different layout resources for different screen sizes. On larger devices, he says create compound views to take advantage of extra screen real estate, so you can display more content and ease navigation. Moreover, Android scales the drawable resources based on screen density. To ensure the app screen looks presentable, Mr. Chen suggests using different version of resources need to be available for different screen densities.

I enjoyed the experience of attending the 2014 AT&T Developer Summit where I met some interesting people developing great apps. I also learned new content development and product monetization ideas, which I will incorporate into the business strategy of ROI3, Inc. There is no question that the world is accessing the Internet via mobile devices. Company's that are able to develop content optimized for mobile devices will gain a competitive edge.

Aaron Rose serves as President and CEO of ROI3, Inc., a Seattle, Wash.-based company that empowers people in emerging economies through innovative, technology-based solutions. He is also the editor of Solutions for a Sustainable World.

The Customer is Not Always Right (but Should be Treated with Respect Nonetheless)

I am writing this post from Las Vegas, Nevada, where I am planning to attend the 2014 AT&T Developer Summit and 2014 International CES. I arrived in Las Vegas on Dec. 18, 2013 to spend the holidays with my mom in Boulder City, Nevada. I spend a large amount of my time working from the Boulder City Library, which is a nice facility with ample space for reading, working or performing research. Unfortunately, I had a bad experience with a staff member during one particular visit. This experience serves as a reminder the importance of good customer service even when the customer is not right.

In short, I was rudely scolded by a library employee for possessing a cup of coffee contained in a paper cup inside the library. While I recognize that I was wrong for bringing a beverage inside the library (food and drinks are prohibited), the staff member should have pointed out my error in a more polite and professional manner. Very loudly and rudely, she ask me what was in my paper cup and when I responded that it was coffee, she informed (scolded) me that my beverage is not to be allowed in the library. Given the quiet atmosphere of the library, I was terribly embarrassed for being treated in a manner that I have not endured since I was a small child.

The Boulder City Library also has a no cell phone policy. While I have never violated this policy, I have witnessed the way certain staff members have scolded patrons for talking on their mobile phone inside the library. I recall one experience when a boy of elementary school age was doing some computer research for a homework assignment. With his cell phone, he proceeded to call his mom asking a couple of questions about his assignment. While talking on the phone, a library staff member approached the boy and loudly scolded him for violating the library's no cell phone policy. The boy endured great embarrassment.

In each situation, the boy and I were wrong in our actions. However, staff members should be trained to handle these situations with more professionalism and politeness. It is important to note that I have encountered staff members who are very polite and professional.

The customer is not always right. If any customer or subscriber of ROI3 has a problem with our service, however, please know that my colleagues and I will do our best to resolve the problem. Regardless of the problem, I promise that you will be treated with respect and dignity. Always feel free to contact me directly at aaron.rose@roi3.com or +1 (206) 552-9601. Thank you and Happy New Year!!

[Disclosure: I am a property owner in Boulder City, Nevada, which allows me to possess a Nevada Library Card.]

Aaron Rose serves as President and CEO of ROI3, Inc., a Seattle, Wash.-based company that empowers people in emerging economies through innovative, technology-based solutions. He is also the editor of Solutions for a Sustainable World.

Optimistic about China Despite its Slowing Economic Growth and Rising Costs

On November 20, 2013, I attended an event in Seattle, Wash. entitled "Update on Issues in the US-China Relationship," which was co-hosted by the Washington State China Relations Council and the Trade Development Alliance of Greater Seattle. Erin Ennis, Vice President of the US-China Business Council (USCBC), a Washington, DC-based organization representing approximately 220 US companies selling American goods and services in China, focused her presentation on the USCBC 2013 China Business Environment Survey Results.

According to a press release dated October 10, 2013, the USCBC "surveys its member companies each year to gauge China's business climate and assess the top challenges faced by companies doing business there." The press release explains, "As China's economy has slowed over the past year, USCBC’s survey results indicate that companies face business and market access issues in an economy that for the past five years has been a rare bright spot in a difficult global downturn."

Ms. Ennis noted that the growth rate of China's economy is slowing and cost increases are the most significant challenge of member companies. Reading from the report, she said, "Fewer companies in this year's survey report that their profit margins in China are better than that of their global rates, and fewer companies report double-digit revenue increases compared to previous years."

Ms. Ennis said competition with Chinese companies in China is listed second among the ten challenges identified by member companies (see list below). The report's Executive Summary explains that "most multinational companies in China contend with other foreign competitors as well as both state-owned and private Chinese companies. Survey respondents expressed concern over the benefits that Chinese companies (both state-owned and private) receive that are not available to foreign companies."

Interestingly, while intellectual property rights (IPR) are a regular topic in the U.S. media, IPR enforcement is listed fifth among the ten challenges identified by member companies. The report says, "Problems with licensing occur at the central, provincial, and local levels and affect almost every aspect of doing business in China. Licensing issues often overlap with other issues in the top 10, including uneven regulatory implementation, lack of national treatment, and insufficient transparency in government rule drafting and decision making."

While my colleagues and I at ROI3 recognize the slowing pace of China's economic growth, we continue to remain optimistic about the opportunities to monetize our mobile software-as-a-service in the world's second largest economy and one of the world's largest mobile telecommunications market. As outlined in previous posts on this blog, China currently has over 300 million 3G subscribers and will see smartphone shipments exceed 460 million units by 2017 including 440 million 4G users by 2017. We are committed to producing localized mLearning apps and content that will empower smartphone and tablet users in China to improve their lives.

The top 10 challenges cited by USCBC member companies are:

#1  Cost increases
#2  Competition with Chinese enterprises (state-owned or private)
#3 (tie)  Administrative licensing
#3 (tie)  Human resources: Talent recruitment and retention
#5  Intellectual property rights enforcement
#6  Uneven enforcement or implementation of Chinese laws and policies
#7  Nondiscrimination / National treatment
#8  Transparency
#9  Standards and conformity assessment
#10  Foreign investment restrictions

Aaron Rose serves as President and CEO of ROI3, Inc., a Seattle, Wash.-based company that empowers people in emerging economies through innovative, technology-based solutions. He is also the editor of Solutions for a Sustainable World.

Tech Summit Aims to Connect Leaders From China and Washington State

I attended the Seattle Biz-Tech Summit on October 19, 2013 in Bellevue, Washington. Produced by Kirkland, Wash.-based Nan Hai USA Co. Inc., the conference attracted leaders from companies operating in China and Washington state, respectively, from the information and communication technology, clean tech, and biotech sectors. This blog post will focus on a panel I attended entitled "Commercial Gateway to China: An update on US/China Trade and Investment." (This is a picture of me standing in front of the China Telecom Americas exhibit at the Seattle Biz-Tech Summit.)

In an interview by Dahlia Peterson of contextChina, Nancy Yang, Nan Hai's senior manager, explained that "the aim of the summit is to provide a 'dynamic platform for both large companies and SMEs (Small and Medium Enterprises) to develop business opportunities, learn about cutting-edge innovations, identify emerging markets, expand their business, and showcase their products and services to hundreds upon hundreds of summit attendees.'"

In her article published by contextChina on October 30, 2013, Wen Liu notes that the participants of the "Commercial Gateway to China" panel consisted of "some of the most experienced business leaders in the region, including Sidney Rittenberg, China business consultant and life-long China watcher; Robert Kapp, consultant and founding executive director of the Washington State China Relations Council; Ben Zhang, CEO of Greater China Industries; and Karl Kou, vice president of Huawei USA. Serving as moderator was Mark Wen, a commercial strategy manager at the Port of Seattle and president of the Washington State China Chamber of Commerce."

Sidney Rittenberg began, as Ms. Liu writes, by "sharing with an audience of American and Chinese business people his wisdom in achieving success in China. To understand China, he said, one has to look at the country from its own context, not try to apply the formulas that work in the American economic paradigm to the Chinese paradigm. When doing business in China, one should stay out of politics completely, he advised. 'When you are in another country,' he said, 'you are expected to obey that country's laws even if you think they are horrible laws.' Rittenberg also believed that Google made a tragic mistake by pulling out of China, as it could have had an enormously positive influence in Chinese society if the company had stayed." Having done business worldwide, I can attest to the importance of respecting each country's customs or laws no matter how odd or unjust they may appear to me.

Ms. Liu says that "an audience member, the owner of a small tech company operating in China, voiced the worries of many companies when he said, 'IP protection is still what keeps me up at night.'" That audience member was me (see photo on the right).

Robert Kapp responded that intellectual property problem is unresolved and it may never get fully resolved. "The standard answer, he said," notes Ms. Liu, "is that as China rises up the technology and scientific sophistication ladder, and as the Chinese create more and more intellectual property, they would want IP protection themselves. Before that, however, American companies would do well, 'to be very, very, very thorough in protecting the access to that mixture that constitutes intellectual property,' he said."

The Seattle Biz-Tech Summit was interesting and relevant to the objectives of my company, ROI3, Inc., as my colleagues and I prepare to fully introduce our suite of digitally-animated mLearning apps and content for smartphone and tablet users in China. I look forward to attending the next conference scheduled for September 27, 2014.

Here is a news report from China about the conference:


Aaron Rose serves as President and CEO of ROI3, Inc., a Seattle, Wash.-based company that empowers people in emerging economies through innovative, technology-based solutions. He is also the editor of Solutions for a Sustainable World.

PATH does not Consider China a Recipient, but a Partner

The focus of the previous post on this blog is on the role China plays in the strategy of ROI3, Inc. In doing some research for the post, I found some notes that I took while attending an event at The Bureau of Asian Research (NBR) on March 15, 2013 entitled "China's Evolving Health Industry Investments" featuring Jiankang (Jack) Zhang, PATH’s China Country Program Leader. While the event occurred eight months ago, there are a few points that remain relevant and worth sharing in this post. [Photo of Jack Zhang: PATH/Mike Wang]

Program for Appropriate Technology in Health (PATH)

"PATH's mission is to improve the health of people around the world by advancing technologies, strengthening systems, and encouraging healthy behaviors," according to its website. The Seattle, Wash.-based international nonprofit organization, which was founded in 1977, says that it "transforms global health through innovation. We take an entrepreneurial approach to developing and delivering high-impact, low-cost solutions, from lifesaving vaccines and devices to collaborative programs with communities. Through our work in more than 70 countries, PATH and our partners empower people to achieve their full potential."

In 2011, according to its Consolidated Financial Statements, PATH's total revenue was $283,838,000. Their funding derives from foundations; the United States government; other governments, other nonprofit organizations, and multilateral agencies such as the World Health Organization (WHO); individuals; and interest from investments 75.5 million people worldwide benefited from PATH's work in 2011 including 4.8 million mothers, newborns, and infants; 8.3 million children and adolescents; and 5.4 million people living with HIV/AIDS or tuberculosis.

Specific to China, PATH, since 1979, "has worked with Chinese government agencies, nongovernmental organizations, research institutes, and manufacturers to improve health. Our team in China has focused particularly on addressing reproductive health and infectious diseases." Coordinated from the organization's office in Beijing since 2003, PATH's strategy for success includes:

• Developing and expanding public-private partnership models for health product development that take into account health needs, the best interests of donors, PATH's core competencies, the interests of Chinese public agencies, and synergies with Chinese public and private companies;
• Identifying opportunities vertically and horizontally to build on this model to meet the multiple health needs of vulnerable populations in and outside of China; and
• Promoting global access and supply of affordable, accessible, and sustainable health products in China, and through China to other low-resource settings.

PATH in China explains how "PATH views collaboration as the key to providing innovative, sustainable, affordable, and culturally appropriate health solutions for low-resource settings. We conduct rigorous monitoring and evaluation to ensure the efficiency and effectiveness of our work. PATH's strategy in China includes:

• Developing and expanding public-private product development partnerships that align with donor interests, PATH’s core competencies, the interests of China’s public health agencies, and the needs and perspectives of Chinese companies;
• Identifying opportunities to build on these partnerships to meet multiple health needs of vulnerable populations inside and outside of China; and
• Promoting sustainable access to supplies of affordable health products in China and through China to other low-resource settings.

PATH's specific initiatives in China include work in vaccine research, development, and introduction; Woman's Condom product development and promotion; and new diagnostic tools for tuberculosis (TB). A sampling of PATH's projects includes the advancing rotavirus vaccine development; assessing Chinese vaccine manufacturers, the Japanese Encephalitis project; polio vaccine development and scale-up project (PVD); Protection Options for Women (POW); the tuberculosis new diagnostic demonstration project; the Woman's Condom project; and the Safe Water Project.

"China's Evolving Health Industry Investments"

As PATH's country program leader in China, Jiankang (Jack) Zhang is responsible for program development, project management, office management, and liaising with local and international collaborators, including local health authorities, public and private institutions, and other nongovernmental organizations in China.

During his presentation, Mr. Zhang said that the Chinese government is encouraging more private investments in the pharmaceutical and biotechnology sectors. He noted, however, intellectual property protection remains a significant concern by private enterprises, particularly companies based outside of China.

In Mr. Zhang's interview with NBR's Claire Topal and Karuna Luthra on May 25, 2011 entitled "A Pivotal Moment for China and Vaccine Manufacturing," it is noted, "The World Health Organization (WHO) announced on March 1, 2011, that the national regulatory authority of China—the State Food and Drug Administration (SFDA), along with affiliated institutions—now meets WHO indicators for a functional vaccine regulatory system. This means that Chinese-made vaccines are now eligible to apply for WHO pre-qualification."

WHO prequalification ensures that vaccines used in national immunization services in different countries are safe and effective for target populations at the recommended schedules, and that they meet particular operational specifications.

During the 2011 interview, Mr. Zhang said, "WHO's clearance opens the door for [Chinese vaccine manufacturers] to apply for WHO vaccine pre-qualification—a regulatory status that opens the door for United Nations agencies and governments to begin ordering the vaccine— with the aim of becoming eligible for vaccine procurement by the United Nations Children’s Fund (UNICEF)."

Responding to a question, during the 2011 interview, on the implications of the announcement for China's role as an international partner in global health, Mr. Zhang explained, "The Chinese health authority considers the WHO clearance a significant step in China's efforts to contribute to global health, notably to African countries where China has already donated to infrastructure, health systems, and anti-malaria treatment and control programs. The addition of vaccines to this portfolio is truly exciting for the Chinese government."

However, according to Mr. Zhang, "Obtaining a WHO pre-qualification certificate is complex and can be difficult to maintain. Ultimately, in my opinion, the biggest challenge for China won't be in building infrastructure, but instead in sustaining the commitment of public agencies and encouraging manufacturing executives to strictly comply with WHO requirements and the new Good Manufacturing Practice code."

The new Good Manufacturing Practice (GMP) code, adopted by the SFDA and effective March 1, 2011, aligns with WHO GMP standards, containing stricter requirements for the production of pharmaceuticals (including vaccines). The SFDA has asked that all newly-built pharmaceutical manufacturing enterprises should comply with the new GMP code. Existing factories, which produce sterile drugs, including blood products, vaccines, and injections, are mandated to reach the new code before the end of 2013. The deadline for other plants is Dec 31, 2015. Companies that cannot meet the new requirements before these deadlines will be forbidden from continuing to produce drugs. See SDA website, www.sda.gov.cn/WS01/CL0844/59017.html.

While Chinese companies may apply for WHO pre-qualification to manufacture vaccines for the African market, Mr. Zhang remarked during his presentation on March 15th that most vaccines used in Africa are manufactured in India. Despite the lack of Chinese-manufactured vaccines in Africa, he emphasized that the 4th International Roundable on China-Africa Healthcare Cooperation, which is scheduled for May 2013 in Gaborone, Botswana, will attract senior government officials and company executives from China and throughout Africa alike. (The World Bank published an article on December 10, 2009 about the initial China-Africa Healthcare Roundtable that was held in Beijing from December 4-5, 2009. This article by UNAIDS dated May 7, 2013 provides a summary of the aforementioned conference held in Botswana.) (Photo: UNAIDS)

Upon the conclusion of Mr. Zhang's presentation, I asked for an update on how China's vaccine manufacturers were complying with WHO requirements including the GMP. He replied that while Chinese-made vaccines are now eligible to apply for WHO pre-qualification, not a single manufacturer has yet be approved for pre-qualification.

While polio was eradicated in China, Mr. Zhang noted tuberculosis remains a problem. PATH produced a document, Collaborating to Control Tuberculosis, about its work to combat TB in China that says, "China has the most MDR-TB (management of multi-drug resistant TB) cases in the world and the second largest number of overall TB cases. The World Health Organization classifies China as a high-burden country. There are an estimated 120,000 new cases of MDR-TB each year in China, accounting for 24 percent of the global total."

Furthermore, according to the TB document, "With funding from the Bill & Melinda Gates Foundation, PATH is responding to the challenge. In collaboration with the Foundation for Innovative New Diagnostics and the Hong Kong Supranational Reference Laboratory, PATH assists the Chinese National TB Reference Laboratory with determining the operational feasibility, cost-effectiveness, and impact of new TB diagnostics in order to help the Chinese Ministry of Health decide whether to introduce and scale up these technologies."

Regarding his organization's operations in China, Mr. Zhang remarked that "PATH does not consider China a recipient, but a partner."

Aaron Rose is a board member, corporate advisor, and co-founder of great companies. He also serves as the editor of GT Perspectives, an online forum focused on turning perspective into opportunity.

Understanding China - Its Role in Global Business

In addition to making a presentation to Seattle University's Global Business Club on October 31, 2013, I was invited by David Reid, Ph.D., Professor of Global Business Strategy at Seattle University's Albers School of Business and Economics, to speak in a class he teaches entitled "Understanding China - Its Role in Global Business" on November 4, 2013. In his course syllabus, Dr. Reid explains that "this course is geared to students who want to learn about the reality of China as a business opportunity as well as a threat, together with China's state of market development." This post will highlight a few points from my presentation and subsequent discussion with the students.

The focus of my presentation was to present the role China plays in the strategy of my company, ROI3, Inc. While my colleagues and I see opportunities to develop digitally-animated apps and content for smartphones and tablet computers worldwide, China serves as our initial market. As indicated in my post, "ROI3, Inc. - Tools for Empowerment," China had over 300 million 3G subscribers as of May 2013, according to a Tech in Asia article. China will see smartphone shipments exceed 460 million units by 2017 and is expected to have 440 million 4G users by 2017. By 2020, China will be the largest market of smartphone users utilizing the latest mobile broadband technology.

I addressed the many challenges my colleagues and I face in the world's second largest economy. One challenge is the fragmented revenue channels for app developers. While the business-to-consumer (B2C) market offers significant revenue growth, there are multiple B2C channels including AppChina, Baidu App Store, Google Play, HiMarket, Taobao App Market, and Tencent's App Store just to name a few. Furthermore, in-app advertising serves as an integral component of our B2C monetization strategy. (Masanari Arai, founder and CEO of Kii Corporation, a Tokyo, Japan based company that promotes itself as "the only mobile backend-as-a-service (MBaaS) provider that helps developers turn their apps into full-fledged, global businesses," wrote an insightful blog post on November 9, 2013 for VentureBeat explaining China’s mobile app ecosystem.)

In addition to the B2C opportunities, I explained ROI3's business-to-business (B2B) revenue model that resides in enterprise customization and direct licensing. We also see opportunities to monetize our apps via mobile network operators or equipment manufacturers as a value-added service for original equipment manufacturers.

When talking about the specific components of ROI3's apps, I highlighted the following five features: (1) security, (2) simple, user intuitive user interface, (3) engaging graphics through digital animation, (4) social interaction among users, and (5) reward system (gamificiation). While other apps in the China marketplace may provide similar content in the area of English language learning or health, my colleagues and I feel our competitive advantage lies in the technology of the app's back-end infrastructure and front-end user interface, thereby creating an engaging and unique experience for our subscribers.

I wish to express my sincerest appreciation to Dr. Reid for providing me with the opportunity to speak and to the students for their well-constructed questions and critical feedback.

Aaron Rose is a board member, corporate advisor, and co-founder of great companies. He also serves as the editor of GT Perspectives, an online forum focused on turning perspective into opportunity.