HONG KONG/BEIJING (Reuters) – China’s ByteDance, the owner of the video-sharing app, TikTok, and may also appoint an executive director solely to lead the emerging industry, the sources said, signaling its ambitions to grow in the sector, and the intensification of competition with the tech giant, Tencent.
FILE PHOTO: The ByteDance logo can be seen in this figure, the 27th of November, 2019 at the latest. REUTERS/dado Ruvic/Image/File Photo
Yang Shou, the head of the strategy and the gaming companies, the focus is entirely on gaming, as ByteDance to see gaming as the next major source of growth and to plan for the roll-out of a game when the Glory of the Kings, in accordance with one of the people, asking not to be identified because the information is not open to the public.
The move comes as the Beijing-based startup, which was valued at $78 billion, by the end of 2018, and will be supported by well-known investors, including SoftBank Group, Corp., and KKR Inc., is seeking to diversify its business, in the midst of a national security investigation of TikTok.
Gaming has been of strategic importance for the ByteDance a year ago, and the distribution of several fully-fledged games at the same time, according to separate people familiar with the matter.
ByteDance declined to comment. Jan does not immediately respond to an email request for comment.
Gaming is seen as a stable source of income, and if the users have a tendency to keep on playing the best titles for a number of years. The industry also has a huge boost in the last few weeks of the corona virus outbreak has forced many Chinese residents to stay home, forcing the game to download.
China’s gaming industry, which is the world’s largest, is currently dominated by Tencent Holdings, which has developed a successful mobile game the Glory of Kings, and, at present, more than half of the market’s sales, according to the research Range of the Data. The other major players, NetEase.
An increased focus on gaming, by ByteDance will have to increase to compete with Tencent, which is already in competition in areas such as short videos, music and photos to streaming.
Yang, vice-president of the ByteDance, says Founder and CEO Zhang Yiming. Before ByteDance, Yan has worked as a strategy manager at Tencent, according to Yan ‘ s profile on LinkedIn.
The personnel change also means that you can ByteDance has a new vice president overseeing the strategy and investment team. Currently, the team is being led by two directors, and the situation is believed to become temporary, according to a source.
ByteDance first dipped its toes into gaming, with the launch of the “mini-games” by the Chinese, a short video, hit Douyin in February 2019 at the latest. The mini-games built within, Douyin, they don’t have to make them available as a separate download, and it may just be part of the Douyin app. The Mini-games were first created and launched by Tencent.
Reporting by Julie Zhu in Hong Kong and Yingzhi Yang in Beijing; Editing by Brenda Goh and Muralikumar Anantharaman