BEIJING – China denied today it was planning to hit e-commerce giant Alibaba with a fine of almost US$1 billion (RM4.11 billion) for allegedly flouting monopoly rules, as authorities put the screws on the firm as part of a crackdown on the technology sector.
Officials are considering a hefty penalty that could top the $975 million paid by US chipmaker Qualcomm in 2015 – the biggest known for anticompetitive practices in China – the Wall Street Journal reported late yesterday, citing unnamed “people with knowledge of the matter”.
But the regulator in charge of the case told AFP there was no truth to the story. “If it’s not there (on our website), it’s not (true),” a spokesman for the State Administration for Market Regulation said.
Regulators have already told Alibaba’s online payment subsidiary Ant Group to change its business model and hack back its lending, insurance and wealth management services.
They were considering a softer treatment for Alibaba, provided the company distances itself from its outspoken founder Jack Ma, the Journal said, citing unnamed officials.
Ma – one of Asia’s richest people with a fortune estimated around US$58 billion – was dropped from a list of business tycoons published by state media last month.
Alibaba saw profits jump 52% to US$12.2 billion over the last three months of 2020, despite the official crackdown. – AFP, March 12, 2021
