Tecent stock fell over 10% in Hong Kong stock market on Tuesday after Economic Information Daily – a business newspaper owned by Xinhua News Agency published an article about online game.
The article used the terms of “spiritual opium” and “electronic drug” to describe the harmful effects of oline gaming on children and teenagers. The analysis also pointed out that industries insiders and leaders should be vigilant about the harm of online games in young people and children.
Actually there was a massive sell-off for Tecent few days ago. This analysis of online games just a week after a big slumps of Chinese tech stocks. Last week, Tecent temporarily suspended new user registration for its WeChat messaging platform because of secutiy systems udpates. Investors believe its updates is due to compliance and regulation issues from Chinese government.
The recent incidents about Tecent also proof that Chinese tech giants have to keep a good relationship with Chinese Governemnt. And they have to fulfill more social responsibility when doing business in China.
China may become the World’s second-largest economy behind the US.
One of the China’s biggest insurers, Ping An Insurance (Group) Co. is the second largest shareholder of HSBC Holdings PLC. Ping An said that the investment won’t influence how the U.K. based bank is run.
One of the largest movie theater chain around the world was bought by Dalian Wanda Group which runs by Chinese business Wan Jianlin for USD 2.6 billion.
A well-known iconic company in US was partly owned by a Chinese Company, Qingdao Haier. And the acquisition deal was USD 5.4 Billion.
One of the early leader in telecommunications space previously now was owned by one of the famous Chinese enterprise, Lenova. This makes Lenevo become the world’s third-largest smartphone maker around the world.
Chinese investors are interested in Football as well. Chinese billionaire Tong Xia owned Aston Villa.
Chinese Investors and businessesmans own stakes in key infrastructure businesses in the UK such as Heathrow Airport and UK power Networks. Chinese investors have also bought up stakes in Thames Water which is another key infrastructire firms in the UK.
Schools in the UK which owned by China–backed enterprises:
Bournemouth Collegiate School
St Michael’s School in Llanelli, Carmarthanshire
Bosworth Independent College in Northampton
Bedstone College in Shropshire
Ipswich High School
Kingsley School in Bideford, Devon,
Heathfield Knoll School
Thetford Grammar School in Norfolk
Wisbech Grammar in Cambridgeshire
Riddlesworth Hall Preparatory School in Norfolk
Adcote School for Girls near Shrewsbury, Shropshire
Myddelton College in Denbigh, Wales
CATS Colleges – Campuses are in London, Cambridge and Canterbury
Just after Didi raised its IPO which valued nearly USD 68 billion in US stock marking on June 30 2021, Chinese government and Chinese Regulators blocked Didi on Chinese App stores and Chinese Market. It made Didi Global Inc. plunged below IPO price.
Didi is a Chinese ride-hailing company in Chinese and bases in Beijing which provide Chinese customers with taxi hailing, private car hailing and social ride-sharing services. Didi currently has around 550 million users and around 10 millions of registered drives over 400 Chinese cities.
Some analysts believe the crackdown of Didi in its home country means that Chinese government wants more control on Chinese big data as well as a new battlegrounds of US-China trade wars.
Didi is now facing scrutiny over its data security by Chinese regulators. This cybersecurity probe by Chinese regulators also bring out a very strong message to other China’s tech giants: Do not even think about listing in stock market outside China and Hong Kong, especially in US stock market.
For those Tech Giants business owners in China, running the whole business not just needs to be given business consideration, but also a nation security consideration and patriotism consideration.
It was a terrible morning and I was reading the news in my office about the trade war talks between China and the US, the impeachment about Mr. President and the unrested protest in Hong Kong.
The conclusion about all these news would be: the growth of the economy is slowing down.
“There are usually two sides to every story. The economic environment is getting worse, and the government just tried to make up some reasons.” said my Boss. And he was just having his cup of black coffee and expressed his indifference about all these news.
“But the protests in Hong Kong is nothing about economy, it’s a political issue!” I totally disagreed with his view of point and I was quite worried about my friends in Hong Kong.
“Don’t trust everything you see. Even salt looks like sugar. Go as far as you can to see. When you get there, you’ll see further.” He replied.
“Why you always think that everything is about money?” I asked and I always doubted him about it.
“You’re too young to understand. Money is the root of all evil.” He answered and he went out of his office.
Unhappy news, evil money, my “apathetic” boss. What a terrible morning.