China launches antitrust probe into food delivery giant Meituan
On Monday, the Chinese market regulator stated, in what is supposed to be the largest target in a widespread crackdown on the country’s internet platform economy, an antitrust investigation into food delivery giant Meituan.
As per the regulator, State Administration for Market Regulation (SAMR) the investigation is looking into a practice where the company would force the vendors to use their platform, known as "choose one from two".
The company under the scanner, Meituan, that had recently raised $10 billion in a sale of its stocks and convertible bonds, stated that it would cooperate with the investigation and its business is operating normally.
Alibaba, an e-commerce giant had recently seen a record $2.75 billion fine imposed on it, for the same practice, and 34 companies were summoned, including Meituan, to stop using any banned practices.