Tech giant Yahoo discontinues partnership with China

November 25, 2021
Tech giant Yahoo discontinues partnership China PIPL cybersecurity

The latest news revealed that Yahoo, a tech giant firm, has discontinued its connection from China due to its operating environment that is becoming more challenging for the firm. From Yahoo’s statement, their suite of services will be inaccessible for mainland China beginning November 1, 2021. Nonetheless, they expressed their commitment to providing users with free and open internet and an avenue to convey their rights. 

Last month, Microsoft also shut down LinkedIn from China because of too many challenges with the country’s demands that they are required to comply.  

A senior engineering vice president from LinkedIn stated that they find it difficult to see an equivalent benefit for both parties even though they initially wanted to help Chinese members search for a job and economic opportunities. Given this, the software giant has decided to discontinue the access of LinkedIn in China. 

It is not Yahoo’s first attempt to cut off their connections from China.

 

Yahoo has gradually pulled out some of its services from the country from the past years, including its email services and the Beijing Research and Development Centre. 

 

Companies have been reported to part away from China when the country released a warning in July regarding their tightening of data security controls, called the Personal Information Protection Law (PIPL), that became effective on November 1, 2021. 

The country’s data protection law revolves around how user information is gathered, utilised, and stored. Furthermore, it also covers the data processing requirements asked from companies outside of China and several security assessments performed by state authorities. The PIPL also covers a requirement for multination companies to acquire certification on data protection from professional organisations if their operations include moving personal information out of the country. 

In addition, the implementation of PIPL is also applicable to foreign firms that process personal data abroad with the intent of offering products and services to Chinese customers and assessing their behaviours. 

As per the Chinese government, the data protection law’s execution is vital in addressing data and information collection disorders furthered by online platforms having to over-gather users’ personal data. 

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