After app ban, India to take action against 7 Chinese companies

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After app ban, India to take action against 7 Chinese companies
After app ban, India to take action against 7 Chinese companies

New Delhi : Seven Chinese companies including Alibaba and Huawei are now on the radar of Indian authorities for their connection with People's Liberation Army (PLA). It is expected that action against them will be taken soon like the Chinese applications which were banned in India recently. 

The 7 Chinese companies under the scanner are Xindia Steels, Xinxing Cathay international, China electronic technology group, Huawei, Alibaba, Tencent, SAIC motor corporation.

According to a news report, the government sources have confirmed that these companies are currently under the radar and may soon face an action.

Chinese telecom company Huawei reported a revenue of Rs 12800 crore in FY 2018-19 from its Indian operators. The company founded by Ren Zhengfei, who was former deputy director at the PLA’s engineering corps, is facing global issues on 5G with countries like US, Japan, UK, Australia acting on it in various ways.

Alibaba, Baidu, Tencent sources highlighted are part of China's military-civil fusion and artificial intelligence projects. Sources pointing to the 2019 report of US-China economic and security review commission said, ‘’under China's military-civil fusion policy, government-supported mechanisms, including venture capital (VC) funds...(are used for) leveraging the fruits of civilian innovation for China’s defence sector.” 

Alibaba has made an investment in Indian start-ups including popular ones like PayTM, Zomato, Big basket, Snapdeal, Xpressbees. Tencent has made mega investments in Indian tech space including $400 million in Ola cabs, $700 million in Flipkart.

Things between India and China became bitter after a faceoff at the Galwan valley in which 18 Indian soldiers were martyred. The situation is still tense at the LAC in eastern Ladakh.