China issues draft rules banning unfair competition in the internet sector

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SHANGHAI :Chinese regulators on Tuesday issued a lengthy set of draft regulations for the internet sector, banning unfair competition and restricting the use of user data, the latest move in a crackdown on the country's powerful tech companies. According to a document published on China's State Administration

SHANGHAI :Chinese regulators on Tuesday issued a lengthy set of draft regulations for the internet sector, banning unfair competition and restricting the use of user data, the latest move in a crackdown on the country's powerful tech companies.

According to a document published on China's State Administration for Market Regulation website, business operators should not use data, algorithms or other technical means to hijack traffic or influence users' choices.The regulator also said firms cannot use technological means to maliciously impose incompatible barriers to other legal internet products and services.

In April, following a months-long probe, SAMR fined e-commerce giant Alibaba Group Holding Ltd a record US$2.5 billion for engaging in unfair competition.. In July, the regulator ordered social media company Tencent Holdings Ltd to end exclusive licenses for certain songs on its music streaming service, and also blocked a an merger between two game streaming companies Tencent had led.

 

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