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Google Exploring Shanghai’s Free-Trade Zone

Companies such as Amazon and Apple use Shanghai’s free-trade zone to run some of their value-added services in China, due to the area’s looser rules on foreign capital.

Yang Jie reports: The jury is still out on the business benefits of Shanghai’s free-trade zone— but one notable U.S. tech giant is among the firms that has dipped a toe into the pilot area’s waters.

“The free-trade zone’s rules make it easier for foreign companies to run e-commerce operations, for example. But they have little benefit when it comes to activities such as Internet search and e-mail, which are dependent on the location of the server and the storage of data”

Google, of Mountain View, Calif., set up a company in Shanghai’s pioneer free-trade zone last year, according to online filings reviewed by The Wall Street Journal.

Companies such as Amazon and Apple use Shanghai’s free-trade zone to run some of their value-added services in China, due to the area’s looser rules on foreign capital and greater freedom in terms of industries that foreign businesses can participate in.

The free-trade zone’s rules make it easier for foreign companies to run e-commerce operations, for example. But they have little benefit when it comes to activities such as Internet search and e-mail, which are dependent on the location of the server and the storage of data, according to people familiar with the matter.

A Google spokesman declined to comment on the issue. The company’s establishment was first reported on Monday by The Paper, a Shanghai-based media outlet.
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VICE Journalists Charged With Working for ‘Terrorists’ in Turkey

Turkish authorities on Monday charged three Western news reporters in southeastern Turkey with working for a “terrorist organization,” said their employer VICE News on Monday, days after the journalists’ detention caused an outcry among human rights groups.

“Today the Turkish government has leveled baseless and alarmingly false charges of ‘working on behalf of a terrorist organization’ against three VICE News reporters, in an attempt to intimidate and censor their coverage.”

— A spokesman for VICE

Jake Hanrahan, Philip Pendlebury, as well as a fixer and a driver were detained by the Turkish authorities while reportedly filming clashes between police and supporters of the outlawed Kurdistan Workers’ Party (PKK) in the province of Diyarbakir.

On Monday, they were charged in a Turkish court, VICE said. Read the rest of this entry »