In 2023, Tencent, China’s premier technology firm, released a challenger to ChatGPT, signaling the company's pivot towards artificial intelligence (AI) as it enters 2024.
Recognised as China's most valuable corporation, Tencent is aligning its future trajectory with major Silicon Valley enterprises by prioritising AI developments.
This strategic shift arises amid declining profits in its gaming division, historically a major profit generator, contributing nearly a third of the company's earnings.
The gaming industry in China, where Tencent has been a leading player, experienced a significant downturn in deal value, plummeting from $16.9 billion in 2018 to a mere $158 million by 2023, indicating a stark departure from its previous success and highlighting the need for Tencent's new direction towards AI investment.