China Tightens Grip on Big Tech: "Platforms Must Open to Each Other"

[Image source=AP Yonhap News]

[Asia Economy Reporter Cho Hyun-ui] The Chinese government has demanded that internet companies such as Alibaba and Tencent stop blocking links to rival companies' internet services on their platforms.

According to 21st Century Business Herald on the 13th, the Ministry of Industry and Information Technology of China instructed Alibaba, Tencent, ByteDance, Baidu, Huawei, Xiaomi, and others on the 9th to remove the blocking of links to other companies' services on their platforms. Currently, WeChat Pay, a mobile payment service operated by Tencent, cannot be used on Alibaba's online shopping mall.

The authorities plan to enforce the law if companies do not lift the link blocks by the 17th. Local media reported, "If companies refuse to comply with the improvement directive, the authorities may take measures such as banning app downloads."

China has been continuously strengthening regulations against the monopolistic abuse of big tech companies. In response to these measures by the authorities, Alibaba and Tencent are reportedly considering ways to allow each other's services to operate on their platforms, according to The Wall Street Journal in July.

The state-run China Internet News criticized in a commentary, "Blocking links between platforms goes against the fundamental principles of the internet, which are openness and sharing," adding, "Barriers inherently have monopolistic characteristics, suppressing competitors, increasing social burdens, and hindering innovation."

It further urged, "Powerful platforms enjoying vested interests have crushed growing companies and trapped users behind walls," and "Companies that have built walls and earned money exclusively must come to their senses and tear down those walls."

This content was produced with the assistance of AI translation services.