Overview
- Alibaba Group Holding plans to invest $1.1 billion in South Korea over the next three years, focusing on building a logistics center and aiding small- and medium-sized enterprises.
- The investment announcement coincides with a probe by South Korea's antitrust regulator into Alibaba's consumer protection and data practices.
- Alibaba's international operations, including its AliExpress platform, have seen significant growth in South Korea, with a 44% revenue increase in the last quarter.
- The company's stock fell nearly 4% following the investment news, contrasting with a minor decline in the S&P 500 index.
- Regulatory scrutiny is increasing, with South Korea's Personal Information Protection Commission investigating overseas e-commerce platforms for potential law violations.