On the evening of November 10, Tencent Holdings (HK: 00700) held its third-quarter 2021 earnings conference. At the meeting, a Tencent executive answered Tencent's business direction after stricter regulation. He says the new system is a good thing. "What we're doing is connecting the virtual world with the real world, and making the virtual world experience better. Tencent Still has big ambitions in games and social networks, which will be the growth engine of the company in the future. We have many ways to respond to the new policies. For example, we have a lot of new game IP in stock, and we can combine social networks and games together.
In addition, Tencent has many new business layouts, he said. "We have a lot of experience in gaming, social networking, AI, cloud computing and other technical capabilities, as well as rich digital assets, which make it easier for us to enter new areas and layout into new industries." "The executive said.
Another Tencent executive said small and medium-sized companies such as gaming, insurance and education may be more affected by the new policy, but the overall macro environment is positive and there are still great opportunities. We need to protect the security of users on all platforms, and the US market is also undergoing this transformation.
Specific to the influence of vertical industry, he said that at present such as games, education, insurance is a double-digit growth, but such as financial services, the health is the emerging industry, advertising growth is also very strong, especially in social ads, this is a very big opportunity of growth, so the whole macro environment is advantageous to tencent holdings.
Looking ahead, the Tencent executive said more regulations would follow. "There's been a lot of regulation coming down in the last few months, and it's a new normal for companies to get used to, as well as international markets. The government is pushing forward with these regulations to ensure users' privacy and rights. Once all industries are compliant, the industry will be better off and we believe the industry will become more and more adaptable."
Beijing News Shell Finance reporter Bai Jinlei editor & NBSP; Yue Caizhou proofreading & NBSP; Yang Xu Li