Tencent will be hit with a big antitrust penalty in China, but it’s not likely to be as much as Alibaba’s record $2.75 billion fine last month, Reuters reported, citing sources.
As part of Chinese President Xi Jinping’s antitrust crackdown, Tencent will likely get fined a minimum of $1.54 billion by the State Administration of Market Regulation (SAMR), the sources told Reuters.
One of the biggest companies in China and the largest technology conglomerate, Tencent is being penalized for not reporting its previous acquisitions and investments and for anticompetitive behavior. The fine is capped at 500,000 yuan.
“The attitude from the regulator is that, unlike Alibaba, you are not the biggest target here, but it would be impossible not to penalize Tencent now that the campaign is in action,” said one of the sources, per Reuters.
Tencent has a valuation of $776 billion compared to Alibaba’s $642 billion. SAMR hit Alibaba with a record penalty following a probe that revealed the company took advantage of having a dominant market position.
Featured News
EU Conducts First-Ever Raids on a Company Under Foreign Subsidies Regulation
Apr 23, 2024 by
CPI
FTC Moves to Ban Non-Compete Agreements, Aiming to Boost Labor Mobility
Apr 23, 2024 by
CPI
Federal Judge Nods at $418M Deal in Real Estate Antitrust Suit
Apr 23, 2024 by
CPI
Mexican Watchdog Probes Amazon and Mercado Libre Over Loyalty Bundles
Apr 23, 2024 by
CPI
Competition Commission of India to Probe AI Landscape for Competition
Apr 23, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI