China: Simultaneous guidance of 34 companies including Alibaba: Compliance with antitrust law

China: Simultaneous guidance of 34 companies including Alibaba: Compliance with antitrust law

-To major internet companies such as Alibaba-

Chinese regulators:

On April 13th, a meeting was held with the people in charge of 34 major internet companies such as Alibaba Group and Tencent.

Instructed to comply with laws such as the Antimonopoly Act.

Alibaba fine:

On April 10, Alibaba was fined up to 300 billion yen for violating antitrust law.

The attitude of increasing pressure on the entire Internet company is clear.

Directorate General of National Market Supervision:

Directorate General of National Market Supervision and Administration, which has jurisdiction over antitrust law

34 major internet companies attended this conference,

TikTok Beijing ByteDance,
Baidu, a major online search company,
Meituan, a delivery app
Didi, etc.
Most of the major Internet service companies in China were targeted.

Nihon Keizai Shimbun

https://www.nikkei.com/article/DGXZQOGM138TW0T10C21A4000000/

Chinese tech giant “The Golden Age is over” -the ultimate nightmare for entrepreneurs-Bloomberg

https://www.bloomberg.co.jp/news/articles/2021-04-14/QRIF58DWLU7001

Is Alibaba’s fate a warning to China’s tech giants?

Over the weekend,
It’s been a tough week for Chinese tech firms.

Chinese billionaire Jack Ma’s e-commerce giant Alibaba

was fined $2.8bn (£2bn) by Chinese regulators, who said it had abused its market position for years.

Then on Monday,
Chinese digital payments firm Ant Group – an affiliate of Alibaba –

announced a drastic restructuring plan with regulators forcing it to act more like a bank than a tech firm.

And on Tuesday,
34 companies, the who’s who of China’s tech world, were summoned by officials and warned: let Alibaba be a lesson to you.

China forces Jack Ma’s Ant Group to restructure

Alibaba accepts record fine and vows to change

China’s tech giants fall under regulator’s pressure

They’ve been given one month to “self-reflect” and comply with China’s new rules for platform companies.

Alibaba is the grandfather of China’s tech industry. It dominates the marketplace there with over 800 million users in China alone.

The investigation into Alibaba determined that

it had abused its market position for years by restricting merchants from doing business or running promotions on rival platforms.

The fine amounts to about 4% of the company’s 2019 domestic revenue.

BBC News

https://www.bbc.com/news/business-56741551

市场监管总局、中央网信办、税务总局联合召开互联网平台企业行政指导会-中共中央网络安全和信息化委员会办公室

http://www.cac.gov.cn/2021-04/13/c_1619894556494868.htm

ALIBABA GROUP’S MISSION IS TO MAKE IT EASY TO DO BUSINESS ANYWHERE. Alibaba Group

https://www.alibabagroup.com/en/about/overview