Yahoo, Alibaba Engaged In ‘Productive Negotitaions’ Over Alipay Payment Service

NEW YORK (AP) — Yahoo Inc. and Alibaba Group released a joint statement saying they are engaged in “productive negotiations” over online payment service Alipay. The two tech giants are aiming to present a united front as their relationship strains, though they gave few details on how negotiations are progressing.

Yahoo owns 43 percent of Alibaba, a powerful Internet company in China. On Tuesday, Yahoo surprised Wall Street when it said that Alibaba had spun off its online payment service, Alipay. Investors, worried that Yahoo’s stake in Alibaba will now become less valuable, sent Yahoo’s stock down.

Alibaba transferred Alipay to another company owned by its CEO, Jack Ma. He has been more antagonistic since Carol Bartz became Yahoo’s CEO in January 2009.

(Copyright 2011 by CBS San Francisco. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. Wire services may have contributed to this report.)

(Copyright 2011 by CBS San Francisco. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. Wire services may have contributed to this report.)

Comments

One Comment

  1. Kerry says:

    I might be completely off the mark here but I thought that Alipay couldn’t operate in China if it was owned by a foreign country. I haven’t used it myself, as I only use the B2B platform and anyway, I thought it was mainly used by the Chinese market.

    Obviously, I don’t know the ins and outs but it doesn’t sound as though they had any choice but to transfer ownership.

Leave a Reply

Please log in using one of these methods to post your comment:

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

More From CBS San Francisco

Get The New CBS SF Bay Area Local App
Got Our Weather App?

Listen Live