Video streaming services have gained tremendous popularity in the last few years and Netflix and Hulu are the best examples of this. A number of other video services like Disney+ and AppleTV will also be launched in the near future. Amid this growing culture, Tencent Holdings, the Chinese tech giant has launched its first overseas video streaming service named WeTv in Thailand. With the launch of a new service, Tencent is planning to expand its business and its presence in other countries as well.
Tencent is known for its businesses in the fields of entertainment, gaming, internet related services, artificial intelligence (AI) and much more. In fact, the company’s gaming business is one of the biggest in the world. But in the first quarter of 2019 saw Tencent move away from its core gaming business in China as it got into some regulatory problems. Due to this, it had the slowest revenue growth in the first quarter.
As mentioned above, Tencent is trying to expand its business and reach into other countries in order to diversifying its business. According to Jeff Han, Senior Vice President of Tencent Penguin Pictures, since the company already has a large user base in Thailand, it decided to make the country the first target for its video streaming service. It should also be noted that Tencent Penguin Pictures produces the original content for the streaming business.
“This is the market we need to first enter to try to see whether an overseas launch could be a success for us, so we can continue the challenge. We have our priority markets… the Chinese-speaking markets, which will be more receptive to our offerings,” said Jeff Han to the reporters in group interview in Bangkok.
Currently, Tencent’s video streaming platform has over 89 million subscribers in China with more than 200 million daily active users. With the launch of WeTv, Tencent’s video streaming platform has seen an increase of 43% subscription in the first quarter of the year.
Tencent’s WeTv in Thailand will be producing original Chinese content from Tencent Penguin Pictures and later, it will be dubbed to Thai. The company will also be partnering with other local partners to produce the content for the viewers in the country. Other than the original content for video streaming service, WeTv is also adding to the Tencent’s music streaming service named JOOX. It should be noted that the company earlier released a mobile version of the popular battleroyale game PUBG in Thailand. But the company of Han didn’t comment about the amount of investment the company was making for WeTv.