What China Got Right About Big Tech
Unlike Trump, Xi understood that a new class of business titans could hijack his country’s political system.
In certain ways, Ma’s story is a uniquely Chinese one. It demonstrates the Communist Party’s obsession with control, as the party has long worked to prevent the emergence of a fully independent private sector in China. It is also part of the saga of Xi, who has worked hard to concentrate power in his own hands and who brooks no rivals in public attention and adulation.
Yet the humbling of Ma—and an entire class of other newly minted, mega-rich tech entrepreneurs in China—also speaks profoundly to political developments in the United States surrounding President Donald Trump’s reconquest of power after four years out of office.
In bringing this new class of business titans to heel, China’s leaders made a carefully considered strategic decision about the direction of their country’s political economy. In effect, they were saying that Beijing would never grant a dominant role to the extraordinarily lucrative and freewheeling private technology sector. Put slightly differently, that sector would have no sacred cows and would never be allowed to cast a shadow on the party and state.
In the emerging Trump regime, we are seeing just the opposite. The administration is a collection of billionaires that almost mindlessly celebrates wealth. On his first full day in office, for example, Trump gathered in the White House with two of the world’s richest men—Larry Ellison of Oracle and Masayoshi Son of Softbank—along with OpenAI CEO Sam Altman to salute the launch of a new project called , billed as a $500 billion joint venture to build artificial intelligence infrastructure.
Trump’s explanation for why this merited his support was almost childishly vapid. “AI seems to be very hot,” he said. “It seems to be the thing that a lot of smart people are looking at very strongly.”
China has not reined in its tech sector out of any belief in democracy, but rather through a seeming understanding that the new forces of wealth, data, intelligence, information, commerce, and communications can hijack a country’s political system and lead it into dangerously uncharted territory.
Trump, who betrays little technical sophistication, has done the opposite, as he has embraced the big tech sector and celebrated its wealthiest. If this is not challenged, the world might one day look back at this time as the moment when the U.S. state was captured.
Is the MSM allowed to openly praise China now?