Chinese tech giants control substantial market shares, now what happens when "disorderly expansion of capital" meets government intervention?
Are there lessons to be learned? Free market, as an instrument of policy, is a fine thing indeed, until it's not.
Xi himself has declared he will go after “platform” companies that amass data and market power -- a sweeping definition that includes just about all of China’s largest firms. His government is now said to be considering creating an officially directed entity to oversee internet data, the source of much of the industry’s influence.
Ma blasted China’s financial system as outdated and complained that regulators were shortsighted during an October conference. He was summoned to Beijing for a rare joint meeting with the country’s top financial officials. The new regulations soon followed.
Are there lessons to be learned? Free market, as an instrument of policy, is a fine thing indeed, until it's not. What are US tech giants thinking, those who amassed significant power and control, will they dismiss China's regulatory control or see it as a prophecy?