Faced with a crackdown by the government (billions-off-top-businesses-values-2021-09-13), Chinese technology CEOs promised support on Sunday for Beijing’s “shared prosperity” agenda and to help smaller enterprises.
Alibaba Group CEO Daniel Zhang, who is the main target of the sweeping crackdown (divest-5-stake-Chinese-broadcaster-2021-09-24), said at a conference hosted by China’s top internet regulator that his company’s $15 billion goals to enhance shared prosperity in China are “steadily developing.”
“Common prosperity” – China’s euphemism for closing the wealth gap – is “not just a statistic,” Zhang added, emphasizing the significance of assisting local talent in impoverished areas to “teach a man to fish.”
The Chinese Cyberspace Administration is hosting the World Internet Conference in Wuzhen, in eastern China. Foreign executives such as Tim Cook and Sundar Pichai have previously attended the meeting, but this year’s attendance was hampered by COVID-19 protocols and deteriorating US-China ties.
Tesla Inc founder Elon Musk, Qualcomm Inc CEO Cristiano Amon, and Intel Corp CEO Patrick Gelsinger all gave taped speeches.
China’s regulatory crackdown has wreaked havoc on industries ranging from cryptocurrency and the internet to entertainment, education, and real estate, wiping out hundreds of billions of dollars in market value and raising investor concerns about who might be next. Alibaba’s banking affiliate’s listing was halted, and the e-commerce behemoth was fined a record $2.75 for anti-competitive conduct.
The conference’s policymakers and CEOs did not directly address the crackdown, though China’s vice premier, Liu He, did say that the internet economy might sometimes impede competition. This year, President Xi Jinping used the word “common prosperity” in public statements, and it has resurfaced as a slogan.
Xiaomi CEO Lei Jun urged large tech companies to assist more small and midsize businesses, adding that “no group should fall behind.” Neil Shen, the founding partner of Sequoia Capital China, which has supported internet behemoths including ByteDance and Didi Global Inc, welcomed a planned tech bourse in Beijing in videotaped remarks.
