ET: US said to examine Alibaba's cloud unit for national security risks

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The Economic Times reports:

The Biden administration is reviewing Alibaba Group Holding Ltd.’s cloud business to determine whether it poses a risk to US national security, according to three people briefed on the matter, as Washington ramps up scrutiny of Chinese technology companies’ dealings with American firms.

The focus of the probe is on how the e-commerce company stores US clients’ data, including personal information and intellectual property, and whether the Chinese government could gain access to it, the people said. The potential for Beijing to disrupt access by US users to their information stored on Alibaba cloud is also a concern, one of the people said.

US regulators could ultimately choose to force the company to take measures to reduce the risks posed by the cloud business or prohibit Americans at home and abroad from using the service altogether…

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