Google sees yet more collaboration with Chinese tech companies
Silicon Valley titan Google, long the poster-boy for Big Tech in the US, has a complicated relationship with China. Although it moved early in the country, it left not long after in protest of Beijing’s censorship laws. But it still maintained a tangential presence there… it just stopped offering its core business of search. In other, smaller ways, it was always there – offering Chinese firms international ad space on its platform, and developing the country’s most popular smartphone operating system, Android. Last year, it announced plans to build a China-friendly search engine (since quashed), and yesterday, we reported that the company had been working with Chinese smartphone giant Huawei. Now, Google is partnering with yet another Chinese tech titan – JD.com.
JD.com and Google-owner Alphabet have both seen their share prices rise considerably year to date
Source: Yahoo Finance
JD.com is China’s second-biggest player in online retail (the first is also a Dominion holding: internet juggernaut Alibaba). Beyond that, its interests include the usual “Big Tech” fare: ecommerce, artificial intelligence, and more.
According to the Nikkei Asian Review (NAR), which broke the news, JD.com is partnering with Google to push its online retail business beyond Asia and into the rest of the world. The publication claims that US shoppers will be able to buy about 500 products from JD’s in-house brand (Joybuy) through Google Express, which also carries products from big American companies like Costco. The products will include keyboards, kitchen appliances, and headphones, and (assuming people buy them) more products will likely be added at a later date.
JD has partnered with a number of foreign firms in an effort to court success outside of China. But the Google tie-up will probably have further-reaching ramifications. According to NAR: “The partners are expected to use the collaboration as a springboard to work together on developing technology, such as for JD.com's push into automated stores powered by artificial intelligence.”
Dominion holds both JD.com and Alphabet, the parent company of Google, in its Global Trends Ecommerce Fund.
If you would you like to receive the Newsfeeds daily, please click here to sign up now!Help us make this Newsfeed better by rating this article. 1 star = Poor and 5 stars = Excellent
- Click here to print this story: Print
The views expressed in this article are those of the author at the date of publication and not necessarily those of Dominion Fund Management Limited. The content of this article is not intended as investment advice and will not be updated after publication. Images, video, quotations from literature and any such material which may be subject to copyright is reproduced in whole or in part in this article on the basis of Fair use as applied to news reporting and journalistic comment on events.