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Alibaba co-founder Jack Ma announces plans to retire at 54
BEIJING, Sept 8, 2018 (BSS/AFP) – Alibaba co-founder and chief Jack Ma
plans to retire from the Chinese e-commerce giant on Monday to devote his
time to philanthropy focused on education, he told the New York Times in an
interview.
Ma was an English teacher before starting Alibaba in 1999 and built it into
a multibillion-dollar internet colossus, becoming one of China’s richest men
and a revered figure in his homeland.
His own worth has soared along with that of the company, which was valued
at $420.8 billion based on its share price at the close of trade on Friday.
Ma told The New York Times that he plans to step down from the company on
Monday — his 54th birthday — referring to his departure as “the beginning
of an era” rather than an end.
He said he planned to spend his remaining years devoting his time and
fortune to education. In an interview with Bloomberg TV released on Friday,
he hinted at his retirement plans, saying he wanted to follow in the
footsteps of Microsoft founder Bill Gates, one of the world’s most generous
philanthropists.
“There’s a lot of things I can learn from Bill Gates. I can never be as
rich, but one thing I can do better is to retire earlier,” he said.
“I think some day, and soon, I’ll go back to teaching,” he said, adding he
had been preparing philanthropy plans at his eponymous foundation “for 10
years”.
Ma is part of a generation of billionaire entrepreneurs who made their
fortunes as China embraced the digital age, creating some of the country’s
largest and most successful companies in the space of little more than a
decade.
Huge conglomerates like Alibaba, Tencent, Baidu and JD.com are to China
what Facebook and Google are to the United States.
Ma is the first of his generation of uber-wealthy tech CEOs to retire, an
unusual move in a country where successful business leaders often run their
empires well into their 80s — Hong Kong tycoon Li Ka-shing only retired in
May at the age of 89.
– An accidental entrepreneur –
Ma’s rags-to-riches story is particularly remarkable.
Born into a poor family in Hangzhou, eastern Zhejiang province, Ma became a
university teacher but gave the job up after discovering the internet.
After being knocked back by US venture capitalists in 1999, a cash-strapped
Ma persuaded friends to give him $60,000 to start an e-commerce firm called
Alibaba, which operated out of an apartment in Hangzhou.
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“The first time I used the internet, I touched on the keyboard and I find
‘well, this is something I believe, it is something that is going to change
the world and change China,'” Ma once told CNN.
The company, still headquartered in his hometown, initially allowed
businesses to sell products to each other online but soon morphed into
China’s largest online retail market.
It transformed how Chinese people shop and pay for things, especially
through the now ubiquitous Alipay digital payment service.
The Alibaba empire now spans well beyond online retail and payments to
include cloud computing, digital media and entertainment.
As well as owning a stake in China’s hugely popular Twitter-like Weibo
platform, the company also purchased the South China Morning Post newspaper
in Hong Kong.
As he prepares to leave the company, Ma is among China’s richest men with a
net worth estimated by Forbes at $38.6 billion.
Ma has inspired strong devotion among his employees and users, drawing
comparisons with late Apple co-founder Steve Jobs — although he practised a
more open management style.
A devotee of tai chi, he has made references to Chinese martial arts in
both business strategy and corporate culture.
Porter Erisman, a former Alibaba employee who made a documentary about the
firm, “Crocodile in the Yangtze,” said: “What Silicon Valley is known for, he
embodies a lot of that with Chinese characteristics — that spirit of
openness, risk-taking, innovation.”
Chinese state media have burnished his rags-to-riches story, saying his
parents were poorly educated and his father depended on a monthly retirement
allowance of just $40 to support the family.
Ma’s retirement comes after a torrid couple of weeks for his rival tech
CEOs in China.
Richard Liu, the billionaire founder of Alibaba’s main competitor JD.com,
was briefly arrested in the US over a rape allegation last week. He was
released and returned to China, although the investigation remains active.
Meanwhile internet and gaming giant Tencent has seen its profits and share
price drop amid an apparent regulatory squeeze on the tech giant’s online
gaming business.
Beijing has announced plans to regulate the country’s highly popular video
game industry, including restrictions on the number of new releases to
address concerns over children’s eyesight and gaming addiction.
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