China has issued new directives to limit the expansion of the country’s tech and entertainment giants, including Alibaba, Tencent and Bytedance, the owner of TikTok, a media report said. a media report said.
Nine different departments, including China’s National Development and Reform Commission (NDRC), the State Administration for Market Regulation and the Cyberspace Administration of China, issued a joint statement on how to regulate and tame the growth of what it labels the “online platform sector,” reports Chron, a US-based news agency.
Among the new policy directives, the most prominent is the strict regulation of the activities and investments of technology companies in the financial sector.
According to an NDRC document, “Platform operators may not use their data, technology, market, or capital advantages to limit the independent operation of other platforms and applications.”
The directive appears to be the most problematic for Alibaba and Tencent as both have rolled out extensive online remittance, deposit-taking and insurance services, the US publication said.
According to Chron, these divisions have helped transform e-commerce in the country and enable other online services, such as music and video subscriptions. But after the government stepped in to cancel the IPO of Alibaba’s Ant Group in November 2020, the companies are accused of over-reaching.
The publication of the new directives comes the same week as the United States ramps up its fight against a number of similar Chinese companies, underscoring security concerns and a Canadian researcher found application to the Chinese companies. athletes at the Winter Olympics in Beijing are full of security holes. Chron.
(Except for the title, this story has not been edited by NDTV staff and is published from an aggregated feed.)