[amou234]

> The future of Chinese tech belongs to companies that are much more fast moving

Not at all. The future of Chinese tech is state owned enterprises [1]. Just like other Chinese industries, such as state owned real estates [2] or state run communal restaurants [3]. Just like Soviet Union, before it fell.

"The Peterson Institute for International Economics analyzed the market capitalization of China's top 100 companies. It found that the share of total market capitalization held by state-controlled enterprises, in which the government holds a stake of 50% or more, rose to 50% by the end of 2023, the highest proportion in five years"

[1] China's favored state-owned companies squeeze private sector https://asia.nikkei.com/Business/Markets/China-s-favored-sta... [2] https://www.reuters.com/world/china/chinas-state-owned-devel... [3] https://www.thinkchina.sg/not-everything-has-be-run-state-th...

[rtpg]

Aren't you presenting a false dichotomy here? Perhaps they are having their cake and eating it too, so to speak. Not to comment on the supposed economic malaise of the moment.

Sometimes state-owned enterprises might be able to outperform a private structure!

[realusername]

> Sometimes state-owned enterprises might be able to outperform a private structure!

They can ... until they don't and there's no market correction in place anymore to keep them in check.

It's going to take another decade to feel this effect but it'll be there in full force.

[dav43]

State owned enterprises will outperform private in this environment when there is no option to compete as a private structure

[refurb]

Considering the the stated goals of the Chinese government and past actions, I can’t see how anyone would consider the state owning a major share of a Chinese company to be either a net negative or neutral at best.

[logicchains]

>Sometimes state-owned enterprises might be able to outperform a private structure!

But it's extremely unlikely, given how often the opposite occurs instead in historical data.

[mensetmanusman]

When you are subsidized by a billion tax payers, you better beat the private sector!

The more important question is if it is worth it, since money spent is zero sum.

[amou234]

It's a bit hilarious that there are attempts to convince people on a board for hackers and startup founders that state owned enterprises are great and amazing!!

[nebula8804]

I don't know man, from the outside looking in it seems like despite this arrangement, the people doing the day to day work are fiercely competitive and they want it all. This is just an anecdote but I have seen talks where the Chinese look at the silicon valley grind culture of long working hours and sacrifice and think how can these people be so lazy?

Maybe state ownership will collapse it all, maybe the coming demographic implosion will do it. But it does not seem like your daddy's communism....more like a capitalism-communism fusion that combined with nationalistic pride and a desperation to account for all the over production might lead to surpassing what the soviet union could only dream of.

[kurthr]

Check out a couple of phrases on Chinese media (they are heavily censored): tang ping (躺平) bailan (摆爛)

If you just want English language go for SCMP: https://www.scmp.com/yp/discover/lifestyle/article/3194858/l...

The money has already been made by those in power and the only way to make more is to follow the government gravy train. For the last decade that has meant batteries, EVs, semiconductors, displays are all so heavily subsidized (factories are built with free government loans) that doing anything else (other than buying property) makes no sense. That doesn't mean the people aren't motivated, smart, and ingenious, but they won't be making back the $T in loans.

[nindalf]

No one doubts that Chinese people work incredibly long hours. They do so because there’s been a strong link between input and output. The harder you work, the wealthier you get. That has been incredibly motivating … so far. In an economy that isn’t growing quite so fast, people might not see the same returns for their labour that they did between 2001-19. They might not work as hard.

That’s speculation though. What we do know is that the CCP is changing the way of managing the economy. Between 1992 and 2019 they leaned heavily on the private sector for growth. They would do anything they needed to help private enterprise succeed. That approach paid rich dividends, it’s obvious.

Xi Jinping is going a different way now though. He reckons he knows better than Deng, the architect of the Chinese economic miracle. His approach is to pick winners and losers. It may succeed because he’s picked good horses so far - EVs, solar panels, AI, semiconductors. And state led capitalism has had success in China, with major players like Huawei doing well despite major headwinds.

Because of this shift in approach you can’t extrapolate from the success of 2001-19 and say China’s future success is inevitable.

[kiba]

This is just an anecdote but I have seen talks where the Chinese look at the silicon valley grind culture of long working hours and sacrifice and think how can these people be so lazy?

Working long hours isn't necessarily efficient.

[refurb]

From what I’ve seen the motivation of Chinese workers is the same as any worker - to make money.

[amou234]

No state owned enterprises in the history of the world has the quality you've just described - fiercely competitive, nationalistic pride, desperation.

China is now Soviet Union, but with horrendous demographics, mind-numbing debt, and wealth flooding out of the country. China is old and broke. China is fucked.

[eunos]

Uhh what? Non SOE BYD kicks the buts of SOE carmakers (FAW SAIC BAIC etc).