In the short session on Thursday, Tesla Inc (TSLA) rose by 2.44% to $661.77 while Apple Inc (AAPL) surged a bit by 0.77% to $131.97. The two groups could compete directly in the electric car market. After the latest revelations from Elon Musk, who had in the past tried to approach Tim Cook for a rapprochement between the two parties, the tussle from a distance has only just begun.
Alibaba Group Holding Limited (BABA) was down 13.34% to settle at $222.00 on Thursday. The Chinese authorities have launched a monopoly practice investigation and will convene Ant Group, one of its subsidiaries. This survey is part of Beijing’s increased battle against the digital sector’s anti-competitive practices. It comes after the suspension of Ant Group’s IPO in Shanghai and Hong Kong last month. In an op-ed, the “People’s Daily”, the official press arm of the Communist Party of China, wrote that if monopoly is tolerated and companies allowed to develop in a disorderly and barbaric way the industry will not grow in a healthy and sustainable manner.
Alibaba has also been cautioned by regulators about the so-called ‘one or the other’ practice – where traders are required to sign an exclusive platform cooperation agreement and are unable to sell their goods through competing sites. The State Administration for Market Regulation (SAMR) announced that it had launched an investigation into the practice.
Ant Group: According to a statement from the People’s Bank of China (BPC), the Chinese financial authorities will hold talks with Alibaba subsidiary Ant Group in the coming days. The aim of the meeting is to guide Ant Group in the implementation of financial supervision, fair competition and to protect the rights and interests of consumers. Ant Group confirmed that it had obtained regulatory notice and guaranteed that it would comply with all requirements.
Alibaba said it would comply with the inquiry and that it would continue to work normally in its operations. Last month, China published a bill to prohibit internet platforms from behaving monopolistically, Beijing’s first big antitrust step against companies in the industry.