Published On: Thu, Nov 23rd, 2017

China’s Tencent Surpasses Facebook in Worth

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Tencent surpasses FacebookTencent surpasses Facebook in net worth; it is a Chinese social media and video game giant. The company has reached the five topmost firms in the world.

Furthermore, it has also become the first Asian firm with a market capitalization of half a trillion dollars. The value of the company doubled this year.

In this week Tencent surpasses Facebook with total value of $523 billion. Facebook’s total value was $519 billion. However, Tencent is still far behind Apple. Apple is at the top with a worth of $873 billion.

Tencent  has renovated its WeChat smartphone app into a product which is different if compared to other social networking applications that are being used around the globe.

Huang Hao, an associate researcher at the National Academy of Economic Strategy of Chinese Academy of Social Sciences stated that “Tencent is an enterprise that focuses on innovation,”  and added that “Its product ideas are not simple emulations of those of foreign businesses.”

China has blocked social media websites like Facebook and Twitter which gives Tencent a unique edge as China has population of around 1.4 billion.

It is estimated that around one billion people use the app and around 38 billion messages are exchanged every day through this app.

The popular WeChat has transformed China’s tech industry and every daily life for millions of Chinese.

WeChat’s QR codes, which look a lot like a barcode, are used in China’s shops and restaurants, and even fruit hawkers and some beggars carry around the scan able codes, allowing them to accept mobile payment. Furthermore, it is also used by media and publishing segment too.

Another important factor behind mushrooming of Tencent’s value is its game feature. The multi-player online battle “Honor of Kings” has greatly helped the company to generate more revenues and has been a great success.

 

About the Author

- Junaid Ashraf has a Master of Philosophy degree in government and public policy. He has international publications through Taylor & Francis, a leading British publishing body. He regularly write columns for newspapers. His interests include international political economy, geopolitics and good governance. He writes for Asia Times.