Computers never seemed to have enough memory, particularly in the early days of computer technology; therefore, early hardware designers and software programmers decided to save a couple of bytes by using only two digits--00--to chronicle the years for computer data. As the millennium rolls over, computers will mistake the year 2000 for 1900, thereby resulting in conflicting data, general confusions, and system errors and paralysis.  ~  p. 49  ~

     Despite the approach of the year 2000, Taiwan, along with many nations, still faces enormous work on the Y2K crisis. The Gartner Group has six grades (zero to five) of progress in solving the problem, and Taiwan is still stuck at the third grade--the planning and revision stage. By comparison, the United States, the United Kingdom, and Canada have entered the fourth grade, having completed the revision of all their major systems. Taiwan is designated by the Gartner Group as one of the fifteen nations facing the severest Y2K problems, with Mainland China also on the list.  ~  pp. 49-50  ~

     In the private sector, financial institutions have made the best progress so far....Some banks... have almost completed the work, and most of the others are over eighty percent complete. Some banks see this crisis as an opportunity to carry out major upgrade of their hardware and software, spending hundreds of millions of New Taiwan dollars to install modernized computer systems to smooth their development in the 21st century.   ~  p. 51  ~

     The Y2K crisis-related work of domestic enterprises is further complicated by the increasingly close connections of their information systems with those of their business partners and other establishments, forcing them to look into the problem of their business partners'  information systems as well. Computer experts fear that even Y2K-compliant systems may break down, if they receive, process and/or store electronic data from systems that are not Y2K compliant, as the corrupt data from the noncompliant systems will cause system errors and "lock up" the Y2K-compliant systems. 
     This is why many foreign buyers have informed local manufacturers that they will cease placing orders with suppliers who fail to solve their Y2K problems early in 1999. … 
     The Y2K problem is expected to generate numerous legal disputes, as victims strive to seek compensation from government agencies or private establishments for damages caused by millennium bugs in malfunctioning public facilities or defective products. Therefore, domestic insurance firms have decided to exclude Y2K crisis-related accidents from the coverage of their insurance for fire, air transportation, shipping, products liability, and computerized operations, saying that compensation for such accidents could bankrupt them. The decision follows similar moves adopted by big reinsurance firms in developed nations.  ~  p. 55  ~

  … ... America has far outspent other nations in deploying an army of programmers and purchasing new hardware to exterminate the Y2K bug, according to Cap Gemini Group, Paris-based consultants. Of the $655 billion allocated by U.S. businesses and government agencies at every level to address the problem, 61 percent has already been spent. Germany, by contrast, has gone through only 52 percent of its $82 billion budget, France 49 percent of $31 billion, and the United Kingdom 47 percent of $41 billion. 
     The United States may be better prepared, but it is still less sanguine than its allies about next year's midnight scenario....  And while 98 percent of U.S. firms are adopting ways to keep their businesses running in case they do not meet the deadline, that is true of only 60 percent of European firms. 
This suggests that even if U.S. organizations are adequately prepared, their efforts might be sabotaged by their lagging European counterparts. "Even if you have your own problems fixed, there's a possibility of error downstream form you,"  says Jim Woodward, senior vice president of Y2K services of Cap Gemini's U.S. operations in New York. 
     All U.S. government agencies have been directed to finish Y2K work critical to agency function by March of next year, and to put together continuity plans--not just in the event that they can't meet the Dec. 31, 1999, deadline but also if outside suppliers fail to do so. 
     Y2K poses a threat in Asia, too, according to a warning delivered last week by the Gartner Group, Stamford, Conn.-based consultants, at a meeting in Singapore. Gartner predicts that half of Japan's businesses and two thirds of China's will suffer a critical computer failure. Gartner puts the U.S. figure at 15 percent.

     The year 2000 problem is analogous to a major storm. In this case it will be, at worst, similar to a hurricane, cyclone or bad snowstorm. One can predict its arrival and can thus prepare for it. For individuals, the year 2000 problem will not be catastrophe such as severe earthquake, a huge asteroid crashing into the earth, or a nuclear war.  ~  pp. 2-3  ~

     Individuals should be aware that 1999, year 20000 failures will begin and the number of failures will rise as enterprises and government agencies begin their new fiscal 2000 year. During 2000, failures will occur throughout the year. After 2000, some applications that are used only periodically will likely encounter problems because those applications were not tested adequately. Throughout 2000, 2001 and 2002, enterprises will install some noncompliant solutions, attempt to use noncompliant archived data, or receive noncompliant commercial software versions. This will cause some continued failures.  ~  p. 3  ~

     Individuals in Australia, Canada, the Netherlands, Scandinavia, the United Kingdom and the United States will have some disruption, inconvenience and discontinuities during the first week of January 2000. The biggest risk is from failures and outages of telephone and power service, but the rest should be manageable. Countries in Asia, Latin America and emerging countries will have potentially larger disruptions because businesses and governments in those areas are behind in fixing the mission-critical functions.  ~  pp. 10-11  ~

     The largest enterprises--e.g., banks, retailers, distributors and manufacturers--in a country will generally be most prepared and have the lowest risk factors. The same is true for most large multinational enterprises. Most of those enterprises started to prepare early and have had the resources to fix at least their mission-critical systems. Failure of critical government systems continues to pose the greatest risk. 
     Individuals should make a contingency plan based on the risks for their country. Travel throughout the world in January 2000 should be deferred if possible. The progress in solving year 2000 problems by banks and investment companies should be monitored. Gartner Group does not recommend liquidating assets or withdrawing all funds from banks.
The greatest risks to most individuals are: 

•  Being employed by an enterprise that, because of poor year 2000 preparation, suffers significant damage (e.g., business interruption or legal damages) that jeopardizes future employment.

• --Small enterprises are further behind than midsize and large enterprises. Individuals should maintain awareness of the status of their employers’ year 2000 compliance status. 
• From participating in panic actions, rather than an actual failure.
• --Participating in such actions will be of little benefit in the short or long run. Actual failures will be less serious than feared by most individuals. 
• --Be extra careful about scams and unqualified advice. 
• --Be aware that the broadcast news and business press may have a very pessimistic outlook because of information given by those with vested interests--e.g., year 2000 service and software vendors, private consultants and consulting companies.

     It is possible that the "millennium bug," or Y2K crisis, will break out earlier than previously anticipated, on April 9, 1999, warned the Ministry of Finance. 
 … ...This is because the date April 9, 1999, is the 999the day of the year 1999 and will be denoted as "9999"  in computer systems which adopt the Gregorian calendar. If the systems adopting the Gregorian calendar also happen to use "9999" as the control code for "stop entry" or" exceptional condition," chaos could occur next year on April 9, the ministry said. 
      The MOF has told financial institutions in Taiwan that April 9, 1999, is a key date for monitoring how their computer systems are likely to respond to the Y2K problem. Systems that appear prone to complications must complete necessary revisions and testing prior to March 31, 1999, the ministry said. 
      Originally, the MOF had instructed the financial institutions to make Y2K-related revisions by the end of December 1998 and complete all tests by the end of June 1999. … 
     If local manufacturers fail to protect their computer system against the Y2K problem, Taiwan"s gross domestic product possibly could be reduced by as much as 15 percent as a result, the ministry warned.