Unicorns in winter: China’s formerly white-hot tech sector is in the doldrums

“O the year grows cold do we see the qualities of the pine and the cypress,” wrote Robin Li, the boss of Baidu, in a new year’s letter to staff at China’s main online-search firm. Karen Chan of Jefferies, a bank, expects growth in China’s online ad budget to slow from the 30% of the past two years to 17% this year. If firms and investors learn the hard lessons of the capital winter—when it comes to adapting, Chinese startups, after all, have strong form—such dark thoughts may be set aside come spring.

Source: www.economist.com