Concerns are at peak among investors and domestic tech companies, including China’s cloud majors Baidu Inc’s (NASDAQ: BIDU ) Baidu AI, Alibaba Group Holding Ltd’s (NYSE: BABA ) Alibaba Cloud, Tencent Holdings Ltd’s (OTC: TCEHY ) Tencent Cloud, and Huawei Technologies’ Huawei Cloud, Canalys reports . The four cloud companies account for 80% of total cloud spending in China’s cloud infrastructure market, worth $6.6 billion, up 54% year on year as of Q2 2021. Alibaba Cloud led with a 33.8% market share, and Huawei had a 19.3% share. The cloud companies continue to grow, defying China’s tech crackdown from solid demand for digital transformation, artificial intelligence, and smart industries. However, China’s tech sector crackdown wreaked havoc on the companies that always supported their vast domestic market. China’s Data Security Law is likely to be effective from early September attacked ByteDance, Alibaba Group, Tencent, and DiDi Global Inc (NYSE: DIDI ). Baidu, Alibaba, and Tencent’s share prices plunged between 18% and 30% over the last six months, increasing investor concern. Price Action: BABA shares closed lower by 1.60% at $165.41 on Monday. © 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
CNY - Chinese Yuan Renminbi