Beijing crackdown on big tech hits Alibaba’s hip pocket

As Beijing’s crackdown on the internet sector continues, Alibaba Group has failed to meet its revenue estimates for the first time in two years

Growth slowed in almost every major area of the company, following the CEO enforcing a number of government policies including strict data collection rules.

The boss also publicly called out companies that block the products or services of competitors.

Alibaba and Tencent Holdings are long-time rivals and have previously blocked each other’s offerings from their platforms in a bid to boost consumer demand.

This has long been a hot topic for Chinese regulators who are concerned that it gives internet firms a greater influence over the public.

Alibaba’s shares fell by 3 percent in early New York trading and the company is one of the first to demonstrate the impacts of Beijing’s influence.

Investors fear industry could be next

Meanwhile, shares in two of China’s biggest online gaming firms have slipped after a state media outlet called them “electronic drugs”

Investors are increasingly concerned about Beijing cracking down on tech firms.

There are now fears the video game sector could be the next to be targeted by Beijing.

Dan Ives explains the Chinese crackdown is like nothing he has ever seen.