Jack Ma on Two Sessions, Fight Counterfeit as Fight DUI
During Two Sessions, Rep. Huang Jianping accuse Jack Ma’s Taobao of failing to fight counterfeits and that causes a bleak brick-and-motar.
Jack Ma responded later on his Weibo, called Chinese regulators for a more harsh punishment on counterfeits. “The lawmakers should fight counterfeit as they fight DUI.” He said.
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LeEco's LeSports, AFC broadcast contract terminated
In a statement on Tuesday, the AFC said it had "no alternative but to terminate the contract". Media reports said LeSports had failed to meet several payment obligations. The company apologized in a issued statement and pledged to compensate subscribers for the loss, but LeSports hasn't worked out a compensation plan yet, according to a spokesman for LeSports.
The Cyberspace Administration of China and Ministry of Finance fund will support Internet companies and the Internet Plus action plan via equity investment, which is a 100 billion yuan Internet investment fund. The Industrial and Commercial Bank of China, together with the China Development Bank and the Agricultural Bank of China, will provide financial services and 150 billion yuan of credit.
New Regulatory Measures for Car-hailing in China Effect
Interim Measures for the Management of Internet Car-hailing Service, issued by seven ministries, take effect from today. It requires the vehicle wheelbase length must be not less than 2700 mm, the engine capacity must not be less than 2.0 liters. In cities like Beijing, Shanghai and Tianjin, it requires the driver to have a local household register.
According to the official data provided by Didi Chuxing, 92.2% of the operating vehicle are less than 2.0 liters or less. Among the 41 million activated drivers in Shanghai, only less than 10,000 drivers have valid local residence.
This is President Xi’s plane, China’s Air Force One
The Air Force One of China, a Boeing 747-400, is not a specifically designed for the purpose of transporting President Xi Jinping. It’s a civilian airliner operated by Air China and will be reconfigured and serviced according to the need of President Xi’s trip.
The aircraft registration number of Chinese Air Force One is B-2472 (bought in by Air China on May 2nd, 2000). As back-ups, B-2471 (September 22nd, 1999) and B-2447 are also in the reserve team. Generally, Air China selects the aircraft with shortest aviation service age among its fleet, which has eight Boeing 747-400s, to be Air Force One.
The preparation for Air Force One usually begins twenty days before the President’s take-off. The Civil Aviation Administration of China will be noticed and its presidential plane office then assigns the flight mission to Air China. All the process of examination and reconfiguration will be supervised and assisted by 34th Division of the Chinese People's Liberation Army.
In the mid-90s, China had ordered a Boeing 767-300ER as the presidential plane but later found ditctaphones. Since then China never purchases designated presidential planes.
Let’s take a look at its inside.
Painting of Yi He Yuan, in the cabin of B-2471.
Seat layout: Section one, president, include living room, office and bedroom. Section two, ministers. Section three, secretaries, officials, guards and medical staff. Section four, media and others.
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When it comes to user data protection, Chinese smartphone companies all go silence
Not even a word from Chinese smartphone companies since Apple CEO Tim Cook openly challenged the court’s request. Google CEO Sundar Pichai showed support. Microsoft followed. But still, no Xiaomi, no LeTV, no Smartisan, none.
This is quite contrary considering those Chinese smartphone companies have been trying to paint themselves as the next great company, or the real Steve Jobs inheritors, or, very much often, the Chinese version of “Apple”.
They’ve been saying the almost exact same thing as they try to do what Apple had achieved: user experiences, product design, UI interface, ecosystem... et cetera et cetera. If you take a look at these companies’ media events for product release, well, that’s an excellent work of copying Apple.
Except when a real challenge comes, when the government orders you to give out other people’s privacy, Chinese smartphone companies shut their mouth and act nothing’s happened. Yes, I’m saying all of them. Xiaomi, Huawei, Lenovo, ZTE, all of them.
Ironically, they don’t even dare to advocate for the legal claim of government.
WeChat is getting your location, with or without your permission
Several Huxiu editors had made a discovery that WeChat, China internet behemoth Tencent’s mobile communication app, could gain users’ location information regardless the Do Not Allow for Get Location in the system settings in a variety of Android smartphones.
First we disabled all location access for WeChat and then try to use the Send Location and the People Nearby function of WeChat. Surprisingly we found the WeChat could easily have user’s real-time location.
Just to give you an idea of how it’s supposed to be working. Here’s the result we have on iOS.
We turned off the Location Services for WeChat. It keeps running and shows Now Loading... while we use the Location-related features in WeChat. WeChat is unable to get rid of the permission control of iOS, apparently.
To make sure it’s not a single case, we had tested it on several Android smartphones and we’re getting WeChat users’ feedback through our Chinese page. A broad variety of Android smartphones had shown same results, including Huawei, Xiaomi, OnePlus, Meizu and Smartisan.
Huxiu had contact WeChat team but no official respond from Tencent so far.
Madrid’s government treated me like a dog: Wang Jianlin
After purchasing a landmark building in Madrid for $358.5 million, Wanda Group has been caught in a tug of war with the Madrid’s government. The local government doesn’t allow Wanda Group to rebuild the building, because the building is a historic heritage. But at the same time, the government is trying to ensure over-ten-million investment brought by the Wanda Group.
In the negotiation on Jan. 26, Wanda Chairman Wang Jianlin said that he experienced “the worst moment” in his life. Wang also accused that Madrid’s government treated him like a dog.
China Unicom reported a loss of 12 million users in 2015
China Unicom continued to lose mobile users in December, 2015. The statistics show that China Unicom lost 12.4 million users in 2015, and the total amount of users is around 286.6 million. So far, China Unicom has experienced a successive decline of users for 11 months, but its competitors China Mobile and China Telecom see an increase of users every month in 2015.
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After being condemned for selling illness-related Tieba forums in the last week, Baidu’s CEO Lee finally responded to that criticism on its Weibo microblog. He said Baidu will give priority to user experience and is determined to fix its problems. Baidu is also facing punishment over forums containing pornography, libelous posts and adverts for unlicensed hospitals.
Robin Lee also responded to the scandal on Jan. 17. He said: “Baidu will reflect on itself and turn crisis into opportunities.”
Time to reflect on business modes: Baidu condemned for selling illness-related Tieba forums
Baidu Inc was recently involved in a scandal that reflected its lagging profit making mode.
Later, some users revealed that there were more illness-related Tieba forums commercialized. According to the statistics by a user named “ytytytyt”, around 40 percent illness-related Tieba forums were sold to unqualified hospitals, experts and websites. Baidu did not admit this statistic, but on Tuesday Baidu Inc said that it will stop monetizing all of its illness-related forums on Tieba and will welcome non-profit organizations to run these online discussion groups.
Tieba has a large number of users. According to Aizan.com, a Chinese data analysis platform, Baidu Tieba has around 16 to 18 million visits every day. As a result, Tieba becomes a target of many companies. Dominating China’s online search market means Baidu can easily help enterprises with marketing. In the past decades, Baidu had cooperated with many private companies and made a huge sum of revenues through healthcare advertisements.
However, Baidu’s profit making mode has never been a secret. Why Baidu was widely condemned this time? First of all, Baidu touched the bottom line of Chinese people’s toleration: healthcare. Chinese people are sensitive about illness-related events, and Baidu’s commercialization of healthcare Tieba forums is unacceptable on moral standards. Secondly, the selling of Baidu Tieba forums is possibly a violation of users’ privacy and data security.
Apart from that, there is accumulated anger towards Baidu’s profit making modes. After google retreated from China, Baidu has dominated China’s online search engine. Lacking the motivation to compete and innovate, Baidu switched its focus from making better products to getting more profits. When KPI overwhelms Baidu’s original value, Baidu is doomed to lose its credibility.
Chinese Online Service Qvod Stands Trail for Spreading Porn
Wang Xin, former CEO of Qvod, denied the accusation of disseminating pornography last week at People's Court of Haidian District of Beijing. During the court he doubted the accuracy of the allegation that 70% of the video on Qvod servers were pornographic. Wang Xin claimed Qvod was not able to control what videos users choose to play, and video player software could be used to play porns was nothing unusual in the industry. He added that Qvod had been filtering video files based on their names since 2009 and a reporting system was also under continuous improvement. On Nov. 18, 2013, the Cultural Commission of Haidian District confiscated four servers hosted by Qvod at a tech company based in Beijing. The Beijing police then examined 29,841 files stored on three of the servers, among which 21,251 were confirmed pornographic. The officials believed that the act of Qvod and four defendants, including Wang Xin, had constituted the crime of disseminating pornographic materials for profit. Qvod promised on April 16, 2014 to clean pirate and pornographic contents while shutting down its play-on-demand and downloading services. Last August, Wang was arrested on Jeju island of South Korea and taken into custody at the Haidian Detention Center.
Google is Hiring Senior Executives at Beijing and Shanghai
Google hasn released 60 job positions in Beijing and Shanghai on LinkedIn, looking for professionals to work at the mega cities in China mainland. Ranging from senior executives to interns, the positions cover numerous departments including marketing, advertisement, commercial development, software engineering, product management and customer services.
On Dec 7, Beijing issued its first-ever smog “red alert” as severe pollution shrouded a wide swath of Northeast China. To Chinese photographer Lu Guang, whose smog-themed photography series Iron City was released in Dec, 2014, the cause of the smog was plain and clear.
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Half a year has passed since Uber China started a series B round of financing in June. During the past months, rumors of its failure in financing were often heard, which in turn added up to the difficulties of the tycoon’s Chinese operations. But recently, word has it that Guangzhou Automobile Group Co Ltd, after Baidu and Hainan Airlines, has also promised to invest.
On Nov. 16, Ms. Liu Zhen, Uber China's head of operations, said to a press: "Our B round should be announced soon, supposedly in one or two weeks. But it’s hard to say whether the investors will be state-owned capitals or private capitals. Let’s just call them local capitals.” Shortly after that, on Nov. 25, In a press conference Ms. Liu said that the B round funding had closed, but little was revealed regarding the amount of funding or the investors.
However, in December, messages from Uber has changed: “Uber China is progressing steadily in latest funding”, adding that details about this round and the person in charge would be revealed after Christmas. On the evening of Dec. 21, Guangzhou Automobile Group Co. Ltd., another investor after Baidu and Hainan Airlines, announced its agreement to conduct strategic collaborations in terms of Uber China’s funding operations. Uber China has also confirmed that the company will be a major investor in its B round of financing.
Meanwhile, China’s state-owned investment institutions, which Uber’s founder Kalanick once counted on, are now making it clear that they have not invested in Uber. According to Caixin, one of China’s leading financial media, a previous funding document of Uber has claimed to have Hillhouse Capital, China Investment Corporation and Pingan Insurance on board. But so far all of these companies have denied either publicly or in private. A source from China Investment Corporation even said that the company had never thought about investing in Uber at the first place.
A popular belief has formed among investors: given that commuting is a tough issue in public policy, and in Uber’s case, transportation and the city’s data are also involved, it is no wonder that Chinese government is concerned about the operations of a foreign company in this field, which is why state-owned capitals are less likely to be seen in the new funding round.
Apart from that, investing or not is also about choosing sides, in which case no one wants to be on the opposite side of Alibaba and Tencent. An investor who has approached Uber said that he once explained to a senior executive of Alibaba that the money would go to Uber global instead of Uber China, only to be replied: “is there any difference between investing global and investing in China? It's same company.”
Uber’s competitors are also standing in the way of the investment from large institutions. According to Caixin, an investor said China Merchants Bank (CMB) had approached Uber China before but then was persuaded to abandon the deal. Huatai Insurance gave up on the launch of $200 million financial products. China Life Insurance, an investor of Uber global's last funding, has also left the new round, while Hillhouse Capital is merely providing bridging capitals.
Qihoo CEO denied he refer Xiaomi "a slave of capital"
Qihoo CEO Zhou Hongyi clarified in an interview during Wuzhen Summit, World Internet Conference that he did not refer to Xiaomi as he said “(some company) has turned into a salve of capital as it burdened itself with a high evaluation” in a previous event.
“I was not talking about Xiaomi when I said ‘a slave of capital’,” Zhou denied.
On December 8 in an event organized by Chinese Entrepreneurs, Zhou said:
”I’m not going to reveal its name, but there’s one company I used to admire very much for its concentration. I thought it could thrive in mobile business and it actually did through marketing innovation. But now it has turned into a slave of capital as it burdened itself with a high evaluation. It has lost its advantage to Huawei since it started to produce everything from suitcases to luggage bags.”