Common Prosperity Dominates

The call for common prosperity — the Chinese government’s push toward moderate wealth for all — has been answered by technology giants currently under intense scrutiny from Beijing. China has introduced a slew of regulations around anti-monopoly and data security and protection. Last month, President Xi Jinping called for the “reasonable adjustment of excessive incomes” and encouraged high-income groups and businesses to “return more to society.” In response, China’s high-profile technology CEOs and founders have pledged individual sums of money. Pinduoduo founder Colin Huang, Meituan’s ($MPNGF@China) Wang Xing, and Xiaomi’s ($XIACF@China) Lei Jun have collectively donated billions of dollars to social causes. Corporations like Alibaba ($BABA@China) are also stepping up. Alibaba will invest $15.5 billion over the next few years into “common prosperity” initiatives, joining a chorus of technology giants pouring money into Xi’s goal to spread the wealth. The Chinese e-commerce giant will put the money into ten initiatives, including technology innovation, economic development, high-quality job creation, and supporting vulnerable groups.