XLinux's most lucrative channel, however, is GNet, one of mainland China's largest hardware distributors with more than 200 outlets. In the first quarter, the company's China orders alone came to more than US$1.8 million.
As elsewhere in Asia, cost provides a big edge. But with China, there is also a favorable political climate. In mid-January, rumors that China would ban the Windows operating system were widely circulated among the media. Though a ban was never enacted, other reports have stated that Linux has become the official operating system of all of China's government agencies and that the government is actively supporting Linux.
Almost strangely, China seems to like Linux for the same reason that hackers do: autonomy. Since Linux is open-source, China is free to develop and implement it any way it likes. Probably more importantly, China doesn't have to buy it from the US.
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