Chinese regulators have tightened their oversight of some of the larger tech companies noticeably in the past few days.
Ride-hailing tech company Didi Chuxing was forced to stop downloading its app from stores shortly after it went public on the New York Stock Exchange after regulators cited privacy concerns, causing Didi stock to drop sharply. TikTok’s parent company ByteDance has also withdrawn its IPO plans, reportedly after meeting regulators earlier this year.
Privacy issues are not new to regulators, but the newly increased oversight of tech companies’ trading in overseas markets appears to be a significant shift in China’s approach to technology regulation in general, according to Martin Chorzempa, Senior Fellow at the Peterson Institute for International Economics.
“The rules weren’t really consistent in one …