Tencent To Develop Their Own Gaming Phone

Chinese internet giant Tencent might develop its own gaming phone, according to an unconfirmed report (in Chinese) by Chinese media 36KR.


According to 36KR report, Tencent is talking with Asus, Razor, Xiaomi’s Black Shark, and Wentai. Asus, Xiaomi, and Razor already released their gaming phone in the market. While Wentai is actually a ODM (Original Design Manufacturer). Tencent will release the phone with their own branding if they go with Wentai. Otherwise, they can release the phone as a multi-brand product if they plan to go with the other three.

Process Of Deal Negotiation:

In mid-February, ASUS intends to cooperate with Tencent to launch the smart game mobile phone ROG Phone, which will use Qualcomm Snapdragon 855 processor, priced at 5,000 yuan (about 741 US dollars). But potential competitor Razer also wants to cooperate with Tencent to develop the Razer Phone. So the process did not go according to Asus’s Plan.

Now, Wentai, who used to work for Xiaomi’s red rice, is also one of the candidates. Anonymous news said that Wentai Tencent had talked about the project of the game mobile phone, but then there were variables and it is still in contact.

If Tencent does not end up doing mobile phones in its own name, it can be understood. The current mobile phone market is already in the Red Sea. Tencent is more about output technology and content. Intelligent hardware is not the main playground of Tencent. At the same time, Tencent also has to take care of OPPO, Vivo, Huawei and Xiaomi’s emotions, there is no need to offend these big mobile phone manufacturers.In mid-February, ASUS intends to cooperate with Tencent to launch the smart game mobile phone ROG Phone, which will use Qualcomm Snapdragon 855 processor, priced at 5,000 yuan (about 741 US dollars). But potential competitor Razer also wants to cooperate with Tencent to develop the Razer Phone. So the process did not go according to Asus’s Plan.


But Why Launch A Gaming Phone?:

Tencent is the biggest gaming company in the world. Mobile gaming is already big business, and its future potential seems higher with 5G on the horizon. Then why they want to enter the mobile phone market. Because of the Chinese govt. Country’s State Administration of Press, Publication, Radio, Film, and Television, stopped the approval of all video game titles in March 2018, which was not resumed until the end of the year. Because of this Tencent’s revenue fell by 4{7612e6fcd35940926eef5d7bd8f0522b7c050df4dcd15667744be5e37897c111} in the 3rd quarter of 2018 and no year-on-year growth on the 4th quarter.


This is not the first time that they are trying something new. They already developed the Android game console miniStation and VR head display, and the previously released listening speakers.

By making their own phone, now they can pre-install their own product and make more money from it. Tencent already has plenty of mobile games. Now they can use their phone to promote those games for free.

Tencent’s challenge in making game phones:

Tencent adopts an OEM approach to reduce the risk of self-developed mobile phones. But it is still not an easy task to make this phone come and fire. The mobile phone market is already very competitive. When brands like Apple’s sale number is declining, at a time like this for an off the shelf brand like Tencent will have great difficulties to hold the market share.

Then is that means Tencent has no chance in the mobile market. The internet product company that have been successful is Google. So then there might be hope for Tencent too.

What do you think? Let us know in the comments below.

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