Targeting tech

Chinese govt's recent steps can backfire

China’s policymakers are intensifying the crackdown on the private sector and broadening its scope. The “anti-tech” policy has eroded the valuations of China’s tech giants and the education sector has been declared non-profit. Any business entity teaching school subjects cannot have foreign investors, list abroad, or make profits. This decree instantaneously eroded $600 billion of online education valuations. It is the latest in a sequence of moves against corporations. In November 2020, regulators blocked the $34-billion initial public offering (IPO) of fintech giant ANT. It was told to reform and restructure. ANT’s sister company, e-commerce giant Alibaba, was hit with