- Amazon.Com, Inc AMZN intends to shut down its official app store in China on July 17, following the decision to close down its Kindle e-book service in 2022.
- Company sources were tight-lipped on the cause behind the app store’s closure, however this decision goes ahead amidst a challenging operating environment, with China’s data and privacy regulations presenting challenges to foreign companies wishing to do business in this internet-sensitive market, according to SCMP reporting. Alibaba Group Holding Limited’s Taobao, JD.Com, Inc, and short video app Douyin were the top three most popular e-commerce platforms in China, with Amazon trailing far behind.
- Further, the firm’s Amazon Appstore for Android phone users to buy and download apps and games, launched in 2011 as an alternative to Alphabet Inc’s Google, is also set to be discontinued. In contracts to disallowed US apps like Meta Platforms Inc’s Facebook, and Twitter Inc, however, Amazon’s Appstore can still be utilized without a VPN in mainland China.
- Nevertheless, Amazon.cn, Amazon Global Selling, Amazon Global Store, and Amazon Web Services (AWS) are all to remain operational in China.
- Price Action: AMZN shares were down by 0.25% at $115.46 in pre-market trading, last check Thursday.
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