Chinese Internet giant’s advertising revenue suffers as business confidence

Companies in China are cutting digital-ad spending as the economy slows and the recurring Covid-19 outbreak weighs on consumption, another sign of eroding business confidence in the world’s most populous country.

The Chinese internet giant, which operates many of the country’s largest online-advertising platforms, recently warned of weak ad spending by its customers in the second quarter. Some even suggested that the recovery could take some time, indicating pessimism about the macroeconomic outlook.