Beijing (PingWest)- Tencent Holdings has overtaken Facebook to become the world’s most valuable social media company by market capitalization following impressive surge in Shares since the second quarter of 2020.
Tencent’s shares up 4.5 percent to HKD543.5 each, bring its market capitalization to USD670 billion, surpassing Facebook’s market value of USD657.8 billion.
In less than two weeks, two Chinese tech companies have overtaken Facebook in terms of market capitalization. Apart from Tencent, another Chinese tech giant- Alibaba surpassed Facebook as the world’s sixth most valuable. Now, Alibaba’s market capitalization is about USD677.4 billion.
Tencent founder Pony Ma Huateng is China’s richest person and the world’s 20th wealthiest, with a fortune worth USD52.2 billion, according to Bloomberg billionaire rankings. He is followed by Alibaba founder Jack Ma, who is the world’s 21st wealthiest person, at USD50.5 billion.
Headquartered in Shenzhen, Tencent is best known as the operator of WeChat, an messaging app with more than 1 billion users that also offer services like payment, games, online shopping.
Apart from social media, Tencent has built an entertainment empire encompassing games, music, film, online literature, video streaming and TV shows.
Tencent has a system of intellectual property (IP) production. Tencent has made aggressive investment in premium assets beside its business unit and game studio.
The Chinese social media and gaming giant has benefit from users staying at home during the worst of the coronavirus pandemic in China earlier this year as most of people stuck at home spent time on its online game and apps.
Online games, Tencent biggest revenue contributor, has experienced golden period for growth in revenue.
Honour of Kings, PlayerUnknow’s Battlegrounds Mobile (PUBG Mobile), Brawl Stars are just some of the popular titles in Tencent’s library of online game offerings.
In only one month, The in-game spending PUBG Mobile is able to generate revenue of USD226 million in June, which is 41 percent more than it did in the same period of last year.
PUBG Mobile has ranked the 1st place on Sensor Tower’s monthly ranking of mobile games in term of revenue for nine consistent months since last September. Tencent’s another flagship mobile game- Honour of Kings- ranked in second place in the ranking, generating USD204.5 million in revenue.