The Big Tech Crack-down
Governance over antitrust cases has been taking place globally, sweeping from the United States to India and cracking down on big tech companies to fair consumer choices and in regulating the market.
The most impacted target to this probe is Ant Financial, an extension of Alibaba Group BABA -2.1% where the world’s largest $35 billion IPO was halted in the eleventh hour by China’s authorities, pointing failures of regulatory compliance; wiping 8% off its share price in Hong Kong in effect.
The Chinese Communist Party has begun strengthening its efforts in antitrust and anti-monopoly law enforcement on big tech companies as many now face heightened scrutiny for its data collection - in particular to its usage for personalized ads. Additionally, the state has also been flagging up monopolistic behaviors of conglomerate giants Alibaba and Tencent for its extensive vertically integrated ecosystem and controlling the market share with brand exclusivity.