China is reining in the ability of the country’s internet giants to use big data for lending, money-management and similar businesses, ending an era of rapid growth that authorities said posed dangers for the financial system.
On Thursday, China’s central bank and other regulators ordered 13 firms, including many of the biggest names in the technology sector, to adhere to much tighter regulation of their data and lending practices.
Their aim, say analysts, is to curb a revolutionary business model that let China’s Big Tech develop and use powerful payment apps and other information about hundreds of millions of users.
Among the firms required to conduct the restructuring are technology conglomerate
Tencent Holdings Ltd.
, which owns the popular social-media app WeChat; ByteDance Ltd., owner of the short-video app TikTok; and the financial arms of food-delivery giant