By Yu Shuhong and Ban Xiaohui | China Daily | Updated: 2020-12-18 20:34 Share CLOSE
Promoting the development of the digital economy has become an important part of China’s overall economic policy. Yet the monopoly of internet companies, which are the main drivers of the digital economy, and their disorderly capital expansion have reached such alarming levels that they can no longer be ignored.
Thanks to the mountains of data, especially personal information, they have mined, large internet companies, after having expanded their market shares, are turning into monopolies. This will inevitably lead to increasing distorted competition, which in turn will cause great harm to both society and the economy.
Posted by John Chan | Dec 16, 2020
A series of enforcement measures and proposed laws have drawn heightened attention to Beijing’s plans to rein in and remake the environment for big tech in China. Taken together, they reveal an unprecedented willingness by the Chinese government to take on tech giants that have previously gone largely unchecked, forcing them to toe the Party line and also to protect consumer interests and privacy to a degree previously unseen.
Since the summer, regulators have signaled growing concern about monopolistic practices in China’s technology sector. In November, the announcement by China’s market regulator of new measures to curb tech monopolies brought its priorities fully into view. This week it took action, fining three companies for improper reporting of acquisitions for regulatory approval. SupChina’s Lucas Niewenhuis
China Daily | Updated: 2020-12-16 07:12 Share CLOSE Logos of Alibaba Group and Ant Group are seen during the World Internet Conference in Wuzhen, Zhejiang province, Nov 23, 2020. [Photo/Agencies]
The market regulator has, in line with the Anti-Monopoly Law, fined Alibaba, China Literature and Hive Box 500,000 yuan ($76,290) each for not reporting merger and acquisition deals to the relevant authorities.
The fine is a negligible amount for these companies having market values of more than 100 billion yuan each, but by enforcing the law, the authorities are drawing a red line for enterprises. By investigating such malpractices, the authorities can ensure that the internet does not become a lawless domain, and the past disorderly reign of internet companies will also be brought to an end. It also demonstrates that the strategic layouts or business strategies of internet enterprises should be put within the framework of State laws and r
Chinese regulator fines Alibaba and Tencent under antitrust laws
Alibaba s Jack Ma today made his first public appearance in three months
The Chinese markets regulator has fined Alibaba and Tencent for a string of deals in its latest bid to clamp down on tech companies.
The State Administration for Market Regulation announced on Monday it had fined Alibaba, Tencent-backed China Literature and Shenzhen Hive Box Technology 500,000 yuan.
It comes after the regulator published draft regulations last month looking to curb tech monopolies, one of the most wide-sweeping proposals on Chinese tech.
The proposals include pricing, payment methods and use of data, as Beijing steps up its effort to control the growing influence of big tech.