Tencent enjoying major games revenue boost from IM client
China’s Tencent (part of China’s BAT triumvirate along with Baidu and Alibaba) has witnessed significant growth thats to revenues from gaming inside its WeChat IM [Instant Messaging] client along with its social networking client – Mobile QQ. Perhaps the most significant news is the fact that the userbase for WeChat has ballooned up from 396 million in Q1 2014 to 438 million in Q2 2014. That’s well within reach of WhatsApp’s current total of circa 500 million users which currently makes it the leader in the IM niche market. It’s also goood news for Nokia N73 owners as GoMo News previously outlined here, that smartphone is popular with our Indian readers but cannot run WhatsApp. But it can run WeChat.
Overall in Q2 2014, Tencent reported an impressive circa 66 per cent jump in its profits, taking them to 3 billian yuan (£292 millon) from its WeChat and Mobile QQ offerings.
In terms of total revenues, they rose a pretty healthy 37 per cent to 19.75 billion yuan (£1.92 billion) with profits of 5.84 billion yuan (£570 million).
That makes Tencent China’s biggest listed high tech firm having cornerned the social networking sector (aka Facebook) whilst Alibaba is China’s Amazon and Baidu is China’s Google.
A company statement said, “Revenue growth in the online gaming business mainly reflected contributions from smartphone games integrated with Mobile QQ and Weixin (the Chinese name for WeChat meaning ‘micro message’), as well as growth in PC client games.”