Out of the many companies that can’t operate in China, Facebook is one of them. The company has made great efforts including those of CEO Mark Zuckerberg who even learned the Chinese language and jogged in the smog-filled streets of Beijing. It seems the struggle is going to lessen as Facebook has finally found a door.
Anonymous sources told Reuters (via The Verge) that social network has formed a new subsidiary called Facebook Technology (Hangzhou) – a startup incubator making investments and advising local businesses.
The subsidiary has cost Facebook around $30 million and it’s listed as a wholly owned by Facebook Hong Kong Limited in Hangzhou, according to a business filing seen by Reuters. This makes it close to hthe eadquarters of the Chinese e-commerce giant Alibaba.
According to a statement, the new initiative would be on the lines of similar incubators it has in India, South Korea, France, and Brazil. Facebook wants to support Chinese developers, startups, and innovators.
However, China’s ban on the social network’s website still exists. Facebook’s efforts of capturing China’s social media space haven’t been successful at all and apps like WeChat and QQ currently rule the Chinese soil. But this time, it aims to get into the mainland by becoming an incubation hub.