This is not an issue as Alibaba is a private entity and is not...

This is not an issue as Alibaba is a private entity and is not backed by the Chinese Government. With TV2U I believe the Chinese Government will receive a percentage of the subscription , advertising and content delivery revenues for all new subscriptions in China. Therefore they have been and will be making life very difficult for new entrants like Netflix and Alibaba with regards to new licence applications and entry process and timing.
Remember Tv2U has technology that is targeted and user specific analytics that will allow the Government to have access to the exact location and personal information of each person when they sign up for TV2U. This is something the Government has been wanting for years as their national security and hard line with citizens human rights has been know for years. Therefore they have more control over the people via TV2U as well a generating a significant revenue streams from the user sign up , advertising and content delivery cash flows generated by the JV.
It’s a bit like Telstra and Optus , Telstra is the number one telecommunications provider in Australia because its network is owned by the government , has been financed for many years by the government and is seen as the telecommunications network to rely on and trust. New players like Optus and similar re-sellers will only be recommending to the chinese people to use TV2U as the preferred operator.

Alibaba does not have its own gaming channel , secured independent network (not run by US companies Google and Microsoft) , contribution channels or ownership of its analytics, and is a private listed entity owned buy some very rich chinese.

Why would the government want to make these guys richer when they can keep an eye on their people , use an independent network not owned and operated by US majors that may compromise national security and line their own pockets via the TV2U JV?