Alibaba accepts record China fine and vows to change
Chinese tech giant Alibaba said on Monday that it accepted a record penalty imposed by the country's anti-monopoly regulator.
Regulators slapped a $2.8bn fine after a probe determined that it had abused its market position for years.
The fine amounts to about 4% of the company's 2019 domestic revenue.
Alibaba Group's executive vice chairman Joe Tsai indicated that regulators have taken an interest in platforms like Alibaba as they grow in importance.
"We're happy to get the matter behind us, but the tendency is that regulators will be keen to look at some of the areas where you might have unfair competition," he told an investor call on Monday.
The company added that it was not aware of any further anti-monopoly investigations by Chinese regulators, though it signalled that Alibaba and its competitors would remain under review in China over mergers and acquisitions.
The main issue for regulators was that Alibaba restricted merchants from doing business or running promotions on rival platforms.
The company said it would introduce measures to lower entry barriers and business costs faced by merchants on e-commerce platforms.
"With this penalty decision we've received good guidance on some of the specific issues under the anti-monopoly law," Mr Tsai said.
The group does not expect any material impact on its business from the change of exclusivity arrangements imposed by regulators.
Source: BBC
Trending Business
Locked-up Investment holders stage protest
11:55Newly constituted TOR Board inaugurated
09:57Herbert Krapa is new ECG Board Chairman
09:41IMF prog.: Election year difficult but we’ll stay the course – Finance Minister
03:28Keli Gadzekpo resigns as ECG Board Chair as dumsor bites
03:12We’ll not be misled for the third time with your sudden found voice – IEAG to Bawumia
09:07BoG has failed us so we’re hitting the streets again – Locked-up investment holders
03:24Blame 22 taxes, levies for hefty port charges not us – GPHA D-G says, ‘We charge just 10% of clearing cost’
02:28Tax amnesty: You can’t survive on Bawumia’s promise – Adongo to businesses
11:562024: Ghana’s Gross Int'l Reserves rise 9.99% in first two months
11:27