Tencent Acquires Digital Broadcasting Platform Iflix

Chinese social media and entertainment giant Tencent, a Southeast Asian broadcasting platform operating in 13 countries iflixBought . With this move, Tencent aims to further consolidate its regional broadcasting activities in Asia and expand internationally in a Netflix-like manner.

In its statement on the subject, Tencent said that it is a Malaysia-based company in order to strengthen its presence in Southeast Asia. video streaming platform Iflix said it acquired its content, technology and resources. The company said that some of its industry content partners have been notified of the issue and that the Iflix brand name will remain for a period of at least 6-12 months.

With Iflix, Tencent has further strengthened its power in the Asian region

Iflix's service, as of April 2020, more than 25 million active users and more than 2.5 billion minutes viewed per month. Despite such high potential and the closure of its closest rival, Hooq, Iflix was experiencing financial difficulties. In calendar year 2018, the company's losses after taxes had increased by 30% to $158 million.

Tencent said in a statement: “We have acquired Iflix's technology and resources. This is our international streaming platform WeTV“It is part of our strategy to expand across Southeast Asia and provide users with high-quality content, international, local and original, across a wide range of genres and languages.” he said. He also noted that WeTV will reach a wider audience within the region and provide a better viewing experience.

The company's streaming platform in China Tencent Video, had more than 110 million paid subscribers at the end of March. On the other hand, WeTV will face strong competition in Southeast Asia, which includes US giant Netflix and Chinese rival iQIYI. Tencent is reportedly in early talks with iQIYI and aims to become the platform's largest shareholder. Although both companies have taken steps to gain a strong position in Asia, they have not been effective so far.