Beijing Kuaishou Technology Co Ltd updates

After Chinese state media called for more regulation of the industry, the short video group Kuaishou lost billions of dollars in market value. This is the latest warning issued to Chinese technology companies in a regulatory attack.

The Chinese Communist Party’s mouthpiece, People’s Daily, commented on Friday accusing online video platforms of negatively affecting young Chinese people who have flocked to celebrities driven by short video platforms operated by Kuaishou and rival Bytedance.

Kuaishou’s share price fell 11.8% in early trading in Hong Kong, and then narrowed its decline to 5.8%.This is after a record drop of 15.3% on Thursday After the IPO After its stock lock-up period expired, Kuaishou announced that it would close its short video application focused on the United States, which competes with the Bytedance TikTok.

Kuaishou’s shares at that time Worth 160 billion U.S. dollars Following the IPO in February, Beijing’s suppression of large Chinese technology conglomerates took a hit. Since the beginning of July, its market value has fallen by US$65 billion to less than US$45 billion.

The People’s Daily said that the online platform’s algorithm encourages fans Send payment Support online idols. “Some minors were induced [to] Participated in this type of fundraising and even participated in illegal cases,” it wrote.

“Analyzing the emergence of this’bad fan culture’ phenomenon, we found that certain online platforms are… inflaming the flames,” the article added, but no company was named.

The censorship of China’s short video platform comes at a time Extended attack In recent weeks, the country’s technology ecosystem has strengthened as regulators have tried to exert greater control over company operations and where shares are sold.

This Broadside Reports from party newspapers against “bad fan culture” followed closely. Fans of Chinese-Canadian singer Wu Yifan enthusiastically supported the Internet. Wu Yifan was detained in Beijing on suspicion of rape on Saturday. Wu denied these allegations.

“This extreme culture of chasing idols has repeatedly challenged the legal and moral bottom line,” the CPC Central Commission for Discipline Inspection said in a statement on its website on Thursday. It added that the online fan culture needs to be cleaned up by “drawing red lines” and “regulating words and deeds.”

CCDI pointed out that China’s online regulatory agency is expanding its campaign against “fan club” culture and will monitor websites and platforms to “compress fans’ irrational pursuit of idols.”

Most of the recent technological crackdowns have focused on industries that Beijing believes will have too much impact on China. Chinese youthLast month, the authorities forced the tutoring company to reorganize on a non-profit basis, which shocked investors. Erase billions of dollars The market value from the largest players in the industry.

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