PwC: How does the Chinese software market compare to other major markets?

Liu: Businesses from around the global have entered into the China market, and so the China market can be seen as the global market. Telecom operators will likely emerge as a competitor in mobile solutions and software applications.

PwC: We've seen a shift in people's behavior, in which they interact more through digital interfaces. What implications do you see this having on the software industry?

Liu: Such innovation has drawn closer the distance between customers and vendors and has enabled vendors to better understand customer needs and provide better products and complete solutions. Digital conversion has driven a higher level of efficiency into the business processes.

PwC: How should software providers think about the use of social technology in their products?

Liu: If social networking does not create value for businesses in the business ecosystem, we don't believe it will take shape as a successful business platform. Vendors will need to carefully examine beyond today's social networking and find and prove the value created through such medium to make it a real business solution.