Tech in Asia reported that Google is investing $550m into JD.com in a strategic partnership.
Most of Google’s services are still banned in China, but the US tech behemoth is trickling into that market in various other ways. Today, it announced that it’s pouring US$550 million into ecommerce powerhouse JD.com as part of a “strategic partnership” between the two.
Under the deal, Google and JD plan to jointly develop a range of online shopping solutions in regions outside China – specifically, Southeast Asia, the US, and Europe. JD will start selling products through the Google Shopping platform, an aggregator for ecommerce sites based on product search.
It is a tough battle against Alibaba for JD in both the domestic and international markets, that’s why it partners with Tencent in China to compete against Jack Ma’s ecommerce behemoth. Logical move to team up with Google in the international market. For Google, it’s a way to get a foot into the world’s largest market that it has no access to.