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New opportunities through tech crackdown

The US rating agency S&P sees China’s crackdown on its tech giants as an opportunity to put the country’s economic growth on a healthier footing, greater competition, and increase the diversity of companies. Other Western tech analysts share a similar view and speculate that the interests of Beijing and Western nations in the tech giants are not so different after all.

By
Frank Sieren
Image of Frank Sieren

China’s recent crackdown on major tech corporations could potentially boost competition and put the economy on a “healthier,” more diverse footing. That’s the conclusion of analysts at U.S. rating agency S&P Global. Instead of anti-competitive practices, takeovers and listings abroad, China’s companies could aim for more organic growth in the future, for example through additional investment spending.

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