New Delhi: China proposes a new rule that will need almost all companies who want to enter foreign countries to undergo Cybersecurity reviews, a step that will significantly tighten supervision of the internet giant.
Companies that hold data on more than 1 million users must now register for Cybersecurity approval when searching for lists in other countries because the risk that personal data and information can be “affected, controlled, and exploited with evil by foreign governments”, administration of China Cyberspace said on Saturday.
Cybersecurity reviews will also see potential national security risks from overseas ipos, he said.
Step Saturday is one of the most concrete steps taken to hold back the ability of technology companies to increase capital in the United States through what is called a variable interest entity model that Baidu and Didi has been adopted.
Chinese regulators seek feedback on the proposed rules, which apply to lists in foreign countries specifically, before implementation.
China tightens rules about foreign IPOs in new technology companies
