The empires of Alibaba and Tencent continued to shake when the Chinese Government just investigated and concluded that the two largest corporations had non-compliance with antitrust rules.
According to Reuters, a series of companies have been fined in China, including two famous names, Alibaba and Tencent, for not complying with antitrust rules.
The State Market Administration (SAMR) has published a list with a total of 28 deals violating antitrust regulations. There are five deals related to Alibaba, including the purchase of shares in subsidiary Youku Tudou, the streaming platform, in 2021.
Meanwhile, Tencent is involved in 12 deals mentioned in SAMR’s list.
Tencent was fined about 6 million CNY ($896,245) and Alibaba was fined 2.5 million CNY ($372,761). In early 2021, Chinese regulators fined Alibaba about $2.8 billion in an antitrust investigation.
According to antitrust law, the maximum fine in each case can be up to 500,000 CNY, or 74,688 USD.
From the end of 2020, the technology sector continues to be the target of strong moves by the Chinese government to correct the monopoly situation.
SAMR stated that it will continue to accelerate the handling of violations and fully support the development of the companies involved.