Source: Bloomberg Businessweek
"Since September, China's government has launched a coordinated regulatory crackdown, which in November scuttled the Ant public offering and, together with tough new antitrust rules, triggered about a $140 billion ... decline in the market value of Ma's Alibaba."
Like the USA and the EU, China wants to rein in the power of big tech. Its somewhat surprising move to cancel Ant Financial's IPO is part of a bigger trend towards caution and regulation, because technology has created massive concentrations of power and capital among a few key players.
It's interesting, then that Western media mostly emphasise the uniquely Chinese aspect of this story, with phrases like "his public rebuke is a warning that Beijing has lost patience with the outsize power of its technology moguls, increasingly perceived as a threat to the political and financial stability President Xi Jinping prizes most."
Political and financial stability are also very much on the minds of the average Zhou (pronounced "Joe") on the streets of Beijing or Shanghai. Chinese people have experienced double digit economic growth and a corresponding improvement in quality of life for the last 3 decades. If that progress can be steadied, they will welcome it. Wouldn't you?
Be contextually aware of the trend: governments are seeking stability even as they strive to innovate. Part of stability is avoiding concentrations of wealth and power, and aiming for confluence of interests*. Engineer your value proposition to meet the need.
Thank you to @Glyn MacLean for championing this concept!