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Intellectual property protection, current copyright law enforcement has not yet achieved the desired results. According to the U.S. SIIA (Software and Information Industry Association) survey report shows that Vietnam and China is the world's highest piracy rates of the two countries, the piracy rate between the two countries in 1994 were 100% and 97%. With the government's emphasis on intellectual property rights, China's piracy rate in recent years has declined, but still remained at 98% and 91%. According to statistics, in 1999, China's software industry due to piracy losses up to $ 600 million U.S. dollars. Piracy rates remain high, not only seriously hampered the development of domestic software enterprises, damage the national image, but also seriously affected the multinational companies and venture capital into China's enthusiasm.Second, China's software industry is facing opportunitiesChina's software industry in developed and developing countries around the software's "caught" being, in the development process there are many problems to be solved, but this does not mean that China's software industry in the forefront of this field of international competition will do nothing. The late 1990s, India's domestic economy is relatively poor on the basis of the software industry to take off, high-tech industries and knowledge-based economy in the core area has made remarkable development. India does not have a clear advantage in the case of the software industry to achieve Shangju leaps and bounds, and China do? India can not be compared with the degree of national economy, information industry size, domestic market potential and overall economic strength, which will undoubtedly enhance the development of software industry in China's determination and confidence.