China’s tight regulatory policy towards local tech giants is only part of a broader project to create a big data trading system. This plan has been preparing for more than one year, but now its implementation has accelerated. It involves the creation of pilot projects of data trading markets under the control of the state, according to the documentation. By implementing the plan, Beijing is going to save the country’s economy by supporting slowing growth.

In September, China’s data security law will go into effect, requiring companies that process “critical information” to assess risks and file reports. Organizations, which are processing data related to national security, must undergo annual audits. However, gaining control over data from such considerations is only one aspect of a strategic effort to create a state-controlled market for information, including both government data and data collected by private companies. We are talking about any type of information – records about the health of citizens, court documents, purchase history.