Chill pervades China's tech firms even as crackdown eases

In January, Alibaba’s financial affiliate Ant Group said that Ma — once China’s richest man — would give up control of the firm following a restructuring, and that no single shareholder would have control. Ma has rarely been seen in public since regulators pulled the plug on Ant Group's market debut in Hong Kong and Shanghai following his criticism of China’s financial sector in 2020. He since reportedly has moved to Tokyo.

He should have moved to Tokyo much earlier than that.

Yeah those Chinese stocks are kind of rough these days.

The EV stocks in particular were some good money makers for a while.

Chinese tech folk will just hop the border and work in other nations. Most of them still want to emulate Ma - get rich and move to Tokyo - so no change there. The EU and US are targeting their own tech companies and rolling out restrictions and regulations. Asia has a huge user base and GAFA 2 will most likely emerge there, probably built by Chinese ex-pats.

I wonder what happens to the good Mr. Ma when it comes time to renew his Chinese passport? Will China allow it to be renewed or will they force him to return to China? If so would he apply for asylum somewhere?

I guess Japan could throw him in a cell for a couple of years until his asylum request is rejected.

He and other analysts say the crackdown could potentially stifle innovation, as investors and entrepreneurs become more cautious about operating in China.

Some entrepreneurs and venture capitalists are taking a wait-and-see attitude, “worried in the long term that if they invest in a hot sector that the government that goes against China’s agenda or doesn’t fit with the government’s agenda for the private sector that they might get wiped out,” Rein said.

Under such pressure, China has accelerated efforts to become more self-sufficient in semiconductors and other advanced technologies, providing billions in subsidies and investments for the industry. But it remains years behind in some of the most advanced semiconductor manufacturing processes

Much of these problems were of the Chinese government's own making. By championing just a select few companies by giving them special treatment while stifling their competitors, thus making them grow into giants without the check of competition and innovation. Now that has to rein them in whimsically, so investors have no trust that they can be wiped out just like that, and not due to business reasons that can be planned for

This is the Chinese way of life, do as we say, think our way, if not you will disappear like MA at one time be re-educated and silenced. Once reeducated they release you to go where ever you want to go with threats of cancelling your passport or demanding you return, worst case dead!