Third, China's regulatory response to challenges from big tech companies
Posted: Sun Jan 19, 2025 10:06 am
News on the development of China's information industry was prepared by the PRC.TODAY Portal based on materials from the Global Times and Shine news agencies.
Fourth, personal privacy and information security are at risk. Chinese consumers are usually required to provide personal information in exchange for financial services from platform companies. Excessive collection or even abuse of consumer information harms consumer information security and privacy.
Fifth, platform companies also pose a challenge to the banking industry. On the one hand, Chinese banks have traditionally had advantages in points of sale, consumer information, and funding sources, which are increasingly being challenged. The rapid development of innovative online financial products has led to the diversion of mexico telegram number database bank deposits. On the other hand, there are about 4,000 small and medium-sized banks in China. With limited resources, these small and medium-sized banks have no choice but to rely on platform companies for technology to serve consumers, perform credit analysis, and control risks. This could undermine their competitiveness and ability to attract customers.
Legislative framework
To address the above issues, China continues to fill legal gaps and take measures to level the playing field.
In this process, we have two points to make. First, we continue to strengthen policy transparency and predictability, protect property rights and intellectual property rights, protect consumers' privacy, and promote fair competition. Second, following a market-based and rule-of-law approach that is also consistent with international norms, we have strived to create a healthy business environment, promote higher-level openness, and strengthen international cooperation.
The aim of these measures is threefold. First, financial activities should be licensed. Second, firewalls should be established to prevent financial risks from spreading across sectors and industries. Third, improper links between financial information and commercial information should be broken to prevent the data network-financial activity cycle.
Fourth, personal privacy and information security are at risk. Chinese consumers are usually required to provide personal information in exchange for financial services from platform companies. Excessive collection or even abuse of consumer information harms consumer information security and privacy.
Fifth, platform companies also pose a challenge to the banking industry. On the one hand, Chinese banks have traditionally had advantages in points of sale, consumer information, and funding sources, which are increasingly being challenged. The rapid development of innovative online financial products has led to the diversion of mexico telegram number database bank deposits. On the other hand, there are about 4,000 small and medium-sized banks in China. With limited resources, these small and medium-sized banks have no choice but to rely on platform companies for technology to serve consumers, perform credit analysis, and control risks. This could undermine their competitiveness and ability to attract customers.
Legislative framework
To address the above issues, China continues to fill legal gaps and take measures to level the playing field.
In this process, we have two points to make. First, we continue to strengthen policy transparency and predictability, protect property rights and intellectual property rights, protect consumers' privacy, and promote fair competition. Second, following a market-based and rule-of-law approach that is also consistent with international norms, we have strived to create a healthy business environment, promote higher-level openness, and strengthen international cooperation.
The aim of these measures is threefold. First, financial activities should be licensed. Second, firewalls should be established to prevent financial risks from spreading across sectors and industries. Third, improper links between financial information and commercial information should be broken to prevent the data network-financial activity cycle.