Alibaba today launched the NT$10 billion (about $306 million) Taiwan Entrepreneurs Fund officially. The company did the same earlier today for its Hong Kong fund.
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According to the company, the fund will be managed by professional investment managers and will operate on a non-profit-esque model, wherein profits generated from investments will be re-invested into portfolio companies. The firm adds that the fund will help startups “start and grow businesses on marketplaces and platforms in the Alibaba ecosystem, enabling them to offer products and services in the Greater China region.”
While Alibaba’s announcement marks the official disclosure of the fund, it will still be subject to approval from Taiwan authorities before the company can carry forth with investments.
Alibaba’s direct influence in Taiwan as an internet company is less than that in the mainland. The company has been aggressively recruiting Taiwanese vendors to join Taobao, and even holds regular classes that teach potential merchants how to navigate the crowded marketplace. While Taiwanese consumers will regularly purchase items from Taobao or Tmall, which support local payment and delivery customs, the island’s ecommerce industry has matured independently of Alibaba. PCHome and Yahoo! Taiwan are generally cited as the island’s top two ecommerce providers.
This is an excerpt from Tech in Asia. You can read the full article here.