HONG KONG (Reuters Breakingviews) - A bitcoin miner, flying-taxi maker and apartment-sharing outfit are among the herd of Chinese upstarts rushing to New York markets. Their untested business models are alarming enough. But Beijing's more frequent crackdowns on booming next-generation industries add another layer of risk.
HONG KONG (Reuters Breakingviews) - A dose of Chinese biotech could be beneficial for Big Pharma. AstraZeneca is launching a $1 billion healthcare fund in the People's Republic. A wealthier, older society promises huge growth for drugmakers, but the burden for the state means Beijing is already pressing global heavyweights to lower prices. Investing in local discoveries and exporting them could be a smart remedy.
HONG KONG (Reuters Breakingviews) - Will SoftBank get its groove back? After WeWork's collapse, boss Masoyoshi Son desperately needs a hit. His bet on the $78 billion Chinese outfit behind TikTok, the popular video app, looks the most promising. But TikTok’s brewing troubles in Washington and beyond make a chart-topping initial public offering difficult to envision.
HONG KONG (Reuters Breakingviews) - Hyundai is zooming onto the self-driving scene. Following the leads of General Motors, Uber, Apple and the like, the South Korean carmaker just unveiled bold plans to invest in autonomous vehicles and other related systems. Despite the late start, well-chosen partners and support from Seoul give it a fighting chance.
HONG KONG (Reuters Breakingviews) - A Chinese rival offers WeWork a turnaround blueprint. Like Adam Neumann's office-sharing outfit, over-expansion at the smaller Beijing-based Kr Space led to a cash crunch. The company has started selling office services to corporate clients across the People’s Republic. A similar pivot will not salvage WeWork's plunging valuation, but it could stem losses.
HONG KONG (Reuters Breakingviews) - Huawei’s good times could wind down soon. Stronger smartphone sales at home helped revenue jump a surprising 24% year-on-year in the first three quarters of the year. But the Chinese tech champion has yet to feel the full impact of U.S. restrictions, set to resume next month, and domestic demand could prove unreliable too.
HONG KONG (Reuters Breakingviews) - China's new technology bourse just got some fresh sparkle. MSCI on Wednesday said stocks on Shanghai's recently launched STAR Market could be eligible for index inclusion. That should revive trading volumes, and more good news is coming.
HONG KONG (Reuters Breakingviews) - Alibaba has found a new ally against an old foe. The Chinese internet titan is buying part of video-games group NetEase's e-commerce business for $2 billion. Perhaps more significantly, the two are forging closer ties in music-streaming, where rival Tencent's dominance is under antitrust scrutiny.
HONG KONG (Reuters Breakingviews) - Hong Kong's leader has finally caved. Chief Executive Carrie Lam has formally withdrawn an extradition bill that triggered months of anti-government protests. Investors cheered, and the territory’s stock market, including battered brands like airline Cathay Pacific, promptly rallied on the news. It will take more to appease protesters.
HONG KONG (Reuters Breakingviews) - Tencent is stuck in a losing battle with Beijing. A year after a video-games crackdown hit the web giant, its $21 billion music-streaming arm may be under scrutiny from regulators. Pony Ma's ambitions of building an entertainment empire are looking a little more fragile. It's a reminder that China's tolerance of its tech champions is waning.