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More state backing a mixed blessing for Net

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President Hu Jintao's call last week for more government support for the internet sector was generally welcomed by those in the industry, including former Yahoo China president Xie Wen, although some expressed concern that this could entail tighter controls.

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Last Tuesday, Mr Hu said officials at all levels should facilitate the development of the internet while improving the administration of web technologies, content and network security, the People's Daily reported.

'With the public support from the president, I hope it will be easier for internet companies to do business,' internet expert said.

China has the second-largest internet population after the United States, with the user number increasing about 24 per cent last year to 137 million, according to the China Internet Network Information Centre, a government-backed market research firm.

'The internet industry in China has been growing without much support from the government,' an industry source said.

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'It is good that the government is willing to put resources into the industry, but I am worried it will also mean more control.'

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