Chinese Internet firms log 1st revenue decline amid regulatory crackdown - Hong Kong News
by IANS | Updated Feb 05, 2023
According to the South China Morning POst, the combined revenue of Chinese Internet firms decreased 1.1 per cent to 1.46 trillion yuan ($217 billion) last year, marking a sharp contrast to double digit growth in the previous six years.
The data by the Ministry of Industry and Information Technology showed that the internet services firms in ride-hailing, travel, financial and flat rental sectors were hit the hardest.
The world's second-largest economy recorded 3 per cent growth last year, compared with 8 per cent growth in 2021.
"China's Internet sector profits grew by 3.3 per cent to 141.5 billion yuan last year, but the growth rate was 10 percentage points slower than in 2021," according to the MIIT data.
Meanwhile, billionaire Jack Ma has relinquished control of Ant Group in a bid to restructure China's largest fintech company and put it back on path for an initial public offering (IPO).
In November 2020, the Chinese regulators forced Ant Group to axe its world record-setting $39.7 billion IPO in Shanghai and Hong Kong. Ma and other top executives were summoned to meet regulators.
The company said that after the restructuring, major shareholders of Ant "will independently exercise their voting rights".
Ma has gone into hiding after a regulatory crackdown in China. He has largely disappeared from public view since he criticised Chinese regulators two years ago.
- Sebi 'fully equipped', could set up a panel of experts, Centre to SC on Adani issue
- Essar Oil & Gas Exploration & Production achieves highest ever revenue and EBIDTA
- Renault Nissan to invest $600 million, launch six new models (Lead)
- Inflation-linked road toll rate hike to be modest in FY24: ICRA
- Homegrown EV mobility solutions provider Magenta Mobility raises $40 mn
- Researcher says PokerBaazi exposed users' information, platform denies data breach (Lead)
- Piyush Goyal directs FCI to open more procurement centres in UP
- IIT-K unveils breakthrough in coal/mineral transportation
- Mumbai airport records surge in passenger movement, traffic up by 149% in Jan
- Tesla adjusts its EV pricing for 4th time in US