Alibaba Group Holding Ltd – ADRs (NYSE: BABA), Alibaba apps support Tencent’s WeChat Pay. It is a known fact that for many years in China, several internet platforms have functioned such that they have banned links from rivals. However, by doing so, the respective apps have not given shoppers and users the freedom to purchase products by using rivals payments products.
Anti-competitive behavior witnessing a sea of change in China
The anti-competitive behavior that China has adopted for many years is seeing a sea of change. Thanks to the regulators who have taken notice of the situation and stepped in. Tech giants in China have buried their difference, and it is understood that anti-competitive behavior has taken a back seat.
Alibaba Group Holding Ltd – ADR users can now purchase products on a few of its apps using WeChat Pay
According to the latest development emerging from China, it is understood that Alibaba Group Holding Ltd – ADR has on some of its apps started allowing users to purchase items through WeChat Pay. The payments service, which is run by its e-commerce giant rival, Tencent, confirmed this news to media house CNBC. Ant Group, which is its affiliate of Alibaba Group Holding Ltd – ADR, runs Alipay. Meanwhile, other apps Shuqi, Damai, and Koala, of the group are now also supporting Tencent’s payments service. Similarly, it is learned that food delivery app Ele. me and video service Youku have been integrating WeChat Pay.
On record, a source from Alibaba Group Holding Ltd – ADR confirmed that the group is waiting to receive a nod from Tencent to WeChat Pay to its used goods marketplace Idle Fish, grocery store app Hema, and discount shopping service Taobao Deals. However, a source following the developments shared that there is no confirmation on when Alibaba Group Holding Ltd – ADR would introduce WeChat Pay to Taobao and Tmall, which are the group two big shopping apps.
A spokesperson from Taobao comments on the issue
A spokesperson on behalf of Taobao informed that user experience and security, which perform the financial transaction, are the group’s priorities. The spokesperson added that multiple payment methods would be added to the platform in a phased manner. Concurrently, a spokesperson from Alibaba Group Holding Ltd – ADR shared that in a bid to serve the Chinese markets, the group will continue on its journey to discover common ground with its peers.