The ban comes as a retaliation to the ongoing border conflict between China and India which left 20 Indian soldiers dead last week. The Indian government knows its military is over-powered by the Chinese and has figured the easiest way to combat the technological powerhouse is by stopping 1.35 Billion Indians from using Chinese made apps. Without data China’s telecommunication firms will struggle to turn a profit as the majority of their revenue derives from data-driven advertising. The ban will almost surely speed up negotiations between the sides as the Chinese government will not want to risk the tax income from technology.
The Sino-Indian war stems from an ownership disagreement over a border in the Himalayas. However, similar to Zimbabwe where the country’s dependency of Fintech has been highlighted by the ban of mobile payment providers. The China-India conflict has brought to light the importance and exponential growth potential of people connecting platforms such as Tiktok and Wechat in the Emerging Markets. It begs the question, why should these technology companies be able to enter and dominate Emerging Market telecommunications for free, should data be an export?