Uh oh. Who forgot to grease a few palms in China? Then again, how can a business as small as Skype really compete with the big money of the existing telco's in China that are already owned by the government? China can come up with whatever bogus excuse they want to block Skype but the real issue is all about corruption in the modern economic miracle. Not that we don't have our fair share of corruption within our own business/political system.
The popular Internet telephone service Skype could be dealt a major setback in one of the world's largest markets as the Chinese government cracks down on what it called illegal Internet telephone providers.
A Chinese government circular from the powerful Ministry of Information and Industry Technology called for a crackdown "on illegal VoIP (voice over Internet protocol) telephone services" and said it was collecting evidence for legal cases against them. It did not name any phone companies.
Skype was still available in China on Friday evening through its joint venture partner TOM Online.
