Report: China Eyes Record Monopoly Fine Near $1 bn for Alibaba

The logo of Alibaba Group is seen inside the company's headquarters in Hangzhou, Zhejiang province early November 11, 2014. REUTERS/Aly Song
The logo of Alibaba Group is seen inside the company's headquarters in Hangzhou, Zhejiang province early November 11, 2014. REUTERS/Aly Song
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Report: China Eyes Record Monopoly Fine Near $1 bn for Alibaba

The logo of Alibaba Group is seen inside the company's headquarters in Hangzhou, Zhejiang province early November 11, 2014. REUTERS/Aly Song
The logo of Alibaba Group is seen inside the company's headquarters in Hangzhou, Zhejiang province early November 11, 2014. REUTERS/Aly Song

China is considering imposing a record fine of nearly $1 billion on e-commerce giant Alibaba for allegedly flouting monopoly rules, according to a report, as authorities continue to put the screws on the firm as part of a crackdown on the technology sector.

The penalty could top the $975 million paid by US chipmaker Qualcomm in 2015 -- the biggest known for anticompetitive practices in China -- the Wall Street Journal report said, citing unnamed "people with knowledge of the matter".

Antitrust regulators in charge of Alibaba's case did not immediately respond to AFP queries on the report, which was published by the Journal late Thursday.

The company, China's largest online shopping portal, has been in the crosshairs of authorities in recent months over concerns of its reach into the daily finances of ordinary Chinese people.

But its legal troubles began after comments in October last year by billionaire founder Jack Ma in which he laid into China's convoluted regulatory system.

In November, financial regulators pulled the plug on the record $35 billion Hong Kong-Shanghai initial public offering of Alibaba's online payment subsidiary Ant Group.

A month later, officials opened an investigation into Alibaba's business practices, deemed anti-competitive, and Ma disappeared from public view until mid-January.

The company based in the eastern city of Hangzhou said it was "fully cooperating" with the investigation by the State Administration for Market Regulation last month.

Regulators are also investigating whether the conglomerate should divest assets unrelated to its main online retail business, the Journal reported without offering details.

An Alibaba spokesperson declined to comment on the report when contacted by AFP.

The company has come under fire in the past for allegedly forbidding its merchants from listing on rival e-commerce platforms.

Once finalized, measures against Alibaba will need to be approved by China's top leadership.

The squeeze on one of China's most influential companies is the latest sign that the leadership is ready to deflate the ambitions of big tech firms in a runaway internet sector.



Saudi Arabia, France Bolster Tech, Research Partnerships to Boost Innovation via AI

Saudi Arabia, France Bolster Tech, Research Partnerships to Boost Innovation via AI. (SPA)
Saudi Arabia, France Bolster Tech, Research Partnerships to Boost Innovation via AI. (SPA)
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Saudi Arabia, France Bolster Tech, Research Partnerships to Boost Innovation via AI

Saudi Arabia, France Bolster Tech, Research Partnerships to Boost Innovation via AI. (SPA)
Saudi Arabia, France Bolster Tech, Research Partnerships to Boost Innovation via AI. (SPA)

Saudi Minister of Communications and Information Technology Abdullah Alswaha held a series of strategic meetings in Paris with several leading research institutions and global companies specialized in artificial intelligence (AI), space, data governance, and deep technologies.

The meetings align with Saudi Arabia's efforts to accelerate the adoption of AI and advanced technologies and to empower its research and innovation ecosystem, the Saudi Press Agency said on Thursday.

Alswaha met with CEO of Inria Bruno Sportisse, with whom he discussed partnership opportunities in AI, quantum computing, robotics, and the establishment of joint research laboratories. The two sides also discussed programs for researcher exchange and competency development.

In a meeting with CEO of Mistral AI Arthur Mensch, Alswaha discussed areas of cooperation in developing open-source large language models (LLMs) and enhancing partnerships in generative AI.

Additionally, the minister and CNIL President Marie-Laure Denis discussed prospects for collaboration in data governance and protection and the exchange of expertise in AI regulations. The meeting spotlighted Saudi Arabia's efforts and international initiatives to develop innovative regulatory frameworks that support the responsible use of emerging technologies.

The Saudi delegation also met with Thales Group Chairman and CEO Patrice Caine to discuss collaboration in developing technological solutions in smart systems and space technologies. The goal is to support Saudi Arabia's priorities in building a digital infrastructure that contributes to empowering vital sectors and advancing high-tech industries in line with Saudi Vision 2030.