iQIYI

iQIYI is currently one of the largest online video sites in the world, with nearly 6 billion hours spent on its service each month and over 500 million monthly active users.^[3][4][5][6] On March 29, 2018, the company issued its initial public offering in the United States and raised $2.25 billion.^[7] iQIYI has not been available in Taiwan since October 15, 2020 due to a ban on partnerships with mainland Chinese video streaming companies after iQIYI was found to be used by China's Taiwan Affairs Office for conducting united front activities on the island.^[8][9][10]

Reception[edit]

In 2019, Taiwan's Institute for National Defense and Security Research reported that iQIYI is used by China's Taiwan Affairs Office to further united front efforts on the island.^[9] In response, Taiwan banned the company.^[37][10]


In April 2020, activist investors, including Muddy Waters Research, accused iQIYI of overstating its revenue and subscribers.^[38] Short-seller Wolfpack Research also accused the company of inflating revenue numbers.^[39] In August 2020, it was announced that the U.S. Securities and Exchange Commission subsequently launched an investigation into iQIYI.^[40] Later in early October 2020, iQIYI made a statement that an internal review into the allegations of fraud made by the American short seller Wolfpack Research, “did not uncover any evidence that would substantiate the allegations.” The internal review had been conducted by an independent audit committee, which included "a Big 4 accounting firm that is not the Company's auditor."^[41][42]


In June 2020, the Beijing Internet Court sided with a customer who sued the company for breaching the terms and conditions of the 'VIP' subscription. iQIYI had charged additional fees for pre-screens of dramas, although paying customers were promised access at no extra charge.^[43]