Jack Ma's potential takeover of SCMP a double-edged sword

Hong Kong

CHINESE Internet tycoon Jack Ma's mooted buyout of Hong Kong's struggling South China Morning Post could see the paper prosper from his Midas touch, analysts say, but also further erode its independence and with it the city's press freedoms.

The once globally renowned paper was founded in 1903 and has long given international readers an insider's perspective on Hong Kong and the mainland, providing a window on events from the Mao era to China's 1980s economic awakening and the 1997 handover. But profits and sales have evaporated, hit by an industry-wide plunge in advertising revenue and unable to deal with the transition to the digital age.

Readers' trust has also dipped as a more pro-Beijing editorial policy has not gone unnoticed in a city that saw tens of thousands take to the streets last ye…