Page 18 - How China Is Winning the Tech Race

in just three years, CEO and founder John Zhang tells me in his loft-style
office with a distant view of the Forbidden City, the former Chinese Imperial
Palace now at the heart of modern Beijing.
Jim Breyer is the savvy managing partner of Accel Partners and a backer
of the popular social networking site Facebook. “Chinese entrepreneurs make
the United States look like it needs steroids,” he says.
The Chinese technology revolution is as unstoppable as a locomotive.
Today over 65 Chinese companies trade on Nasdaq and the New York Stock
Exchange. As recently as 1999, none did. Thirty-one made their U.S. public
debut in 2006 and the first half of 2007 (see Table 2).
Moreover, nine Chinese tech firms reached market capitalizations of $1
billion, and four surpassed $3 billion in 2006. Not bad compared with the
United States, which had only one tech firm pass the $1 billion mark in 2005. 8

IPOs ON NASDAQ IPOs ON THE NEW YORK STOCK EXCHANGE
China 1 Total 2 China Total
2000 3 7 391 2000 3 49

2001 8 63 2001 2 39

2002 6 51 2002 1 41

2003 7 56 2003 1 30

2004 16 170 2004 2 80

2005 24 139 2005 1 71

2006 34 137 2006 3 66

2007 4 46 5 142 First half 2007 6 34

1 Number of Chinese companies listed on Nasdaq by year end. 2 Total refers to U.S. and overseas companies. 3 Cumulative figures. 4 As of July 27, 2007.
5 As of March 3, 2007.
Source: New York Stock Exchange.
Table 2 Chinese IPOs Gain on U.S. Exchanges

xiv SILICON DRAGON