Jack Ma's Ant Group set for record $34B market debut
In this interview with Stephen A. Orlins, Kai-Fu Lee explains the value proposition of Alipayhttps://www.ncuscr.org/media/podcast/uschinainsights/kai-fu-...Orlins: You focus a lot on, kind of Alipay or WeChat Pay. How does that change the landscape for AI in China versus the United States, where we still are heavily reliant on a credit card system that seems quite old and outdated when you're in China?Lee: It's a very unique opportunity for China to leapfrog. The U.S. had the world's most leading transaction tool, which was the credit card, but it became outdated. It charges too much, it's inconvenient, it's only customer to merchant. In China, with WeChat and Alipay, anybody can pay anybody. We can do micro payments and there are no fees, almost no fees, so the 2% extra charge is almost like a tax on the American economy charged by the credit cards. But with respect to AI, now everybody, including WeChat and Alibaba, but also, if you build an app, you know who your customers are, and what they paid and why. And if you're a retail shop and people scanned you, you know who pays you and why. There are even beggars in the street holding up a sign, "Scan me and give me money," and they know who paid them and why. So I think this is creating a huge amount of data that will help AI.