According to a SEC filing, Alipay, the payment business of Alibaba Group was restructured so that it is now controlled by a separate company, owned mostly by Alibaba Group Chief Executive Officer Jack Ma.  Yahoo said the shift was necessary to expedite getting a license for Alipay.

Last year, Chinese government started to formally regulate its online payment industry.  Last December, the Chinese central bank, People’s Bank of China, announced the details for third party payment licences.  And following the announcement, the first batches of online payment companies started to apply for the licences.  They included Alibaba’s Alipay, Tencent’s Tenpay and government back China Unionpay, etc.

(Here are some of our earlier posts: https://technode.com/2010/12/30/17-companies-apply-for-third-party-payment-companies-licence/

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Sherman So

Author of Red Wired: China's Internet Revolution, the first book to completely survey the nature of China's internet. (http://redwiredrevolution.com/) She previously was the lead China technology reporter...