Alibaba Announces $1.1 Billion Investment in South Korea

The investment aims to bolster logistics and support local SMEs, amid regulatory scrutiny and a dip in stock value.

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.