Qualcomm announced on Monday that it will pay $795 million for violating one of China's anti-monopoly laws, adding that it will begin offering discounts for for third-and fourth-generation communications systems in the country, the New York Times reports.
Qualcomm's Chief Executive Officer Steven M. Mollenkopf assured investors that the company will retain strong relations with the smartphone industry in China, mentioning his grow is "still at the front end." Qualcomm is looking to build new partnerships with a number of Chinese smartphone companies, including the rising Xiaomi.
However, some believe the regulations placed by the Chinese government present a threat to global trade.
"This goes beyond Qualcomm; now it's an issue for all major companies, both U.S. and European, that have important patent rights and want to license them and operate in China," Heritage Foundation expert Alden Abbott said, the New York Times also reports.
In general, there has been growing tension between United States and China policymakers over questions of "economic nationalism" and anti-monopoly investigations.
Alibaba, perhaps the country's largest e-commerce company, is investing $590 million into the start-up company Meizu Technology. Meizu is largely seen as the main rival of Xiaomi.
Alibaba Chief Technology Officer Wang Jian said the investment represented "an important expansion of Alibaba's ecosystem and a key step in our mobile strategy," Market Watch reports.
Meizu has been ranked as the country's best-selling mid-priced phone companies.
