Tencent Holdings Limited :Total factor incubation platform builds an open internet ecosystem

Company Profile
For nearly 20 years, Tencent Holdings Limited, as one of the leading comprehensive internet service suppliers in China, upholds the operation principle of “creating value for users”, and has provided various steady and excellent services for hundreds of millions of users and realized sound development. By the end of the fourth quarter of 2015, the number of active QQ accounts has reached 853,000,000 monthly, with a maximum of 241,000,000 accounts online simultaneously, and the number of active Weixin and WeChat accounts combined has reached 697,000,000 monthly. Tencent has significantly influenced and changed millions of internet users’ way of production and living, as well as their habits, and created a brighter application prospect for China’s internet industry.
Challenges
Mobile internet develops rapidly, which expands the border of internet, and also connects various industries, including online entertainment, mobile finance, mobile payment, catering, and so on. This means more entrepreneurial opportunities and it is very promising for entrepreneurs. However, small and medium-sized entrepreneurs, with limited products, capital, management, brand and marketing resources, have to compete with big companies. People use “a narrow escape” to describe the difficult situations for them. Therefore, these entrepreneurs need support and help from society badly.
As an internet company, Tencent takes user experience as an appeal and aims to provide better internet products and services. The company keeps a watchful eye on the changes in life and society and provides superior products and services to make innovations of products and services meet human needs and to make the world a better place, which is also the core social value of Tencent. Then, how to provide plural and convenient services for users, to include more excellent and opener content, to build a various internet ecosystem, to realize its own resource socialization, as well as to probe a new profit model, are the questions to which Tencent is always seeking answers.
Solutions
Tencent initiates entrepreneurial incubators to “connect all” and build an internet ecosystem. Taking “connect all” as a strategy, Tencent makes uses of its existing platforms and advantages in users to involve the entrepreneurs, which makes it easier for both entrepreneurs and Tencent to produce better products and provide more plural services, thus creating an open internet ecosystem.
The requirements of Tencent’s entrepreneurial base for the settlers are very tolerant and the procedural work is also very simple. Registered capital and tariff criterion are not required. The founding teams can use the offices, broadband and cloud computers in the base for free, as long as they pass the qualification inspection. Meanwhile, those entrepreneurs are entitled to resources, like financing, law affairs, tax administration, patent registration and trademark registration, mainly provided by the third party. In a nutshell, Tencent provides various supports for them to promote resource sharing, ranging from capital injection, policy support, and offline entrepreneurial incubation base at the initial stage to platforms.
Tencent creates a loop-locked online and offline entrepreneurial platform. The online part, represented by MyApp with a daily distribution amount of over 100 million, wide click-through and Tencent Cloud, includes Tencent account system, social relations chain, payment capacity, free data service and cloud computing as well, which are all powerful incubation accelerators for entrepreneurs. Apart from this, Tencent’s open platform also provides those entrepreneurs settled in the base with a three-dimensional supporting system, including excess data support, opening of multi-platform capacities, cashability training, sharing of entrepreneurial cost, intellectual training system and material resource supports.
Tencent provides entrepreneurs with more plural resources and entrepreneurial services. It designs targeted training courses according to the different development phase of different entrepreneurial teams. They help founding teams to make up for their intellectual deficiency in a short time to realize a rapid development, through sharing systems, experiences of different teams and knowledge. The company also made a double hundred plan in 2015, and plans to invest 10 billion worth of resources in three successive years accumulatively to cultivate 100 entrepreneurial companies with a market value of over 100 million dollars.
Achievements
Social Benefit
Tencent open platform has invested resources worthy of 10 billion yuan over the past 3 years, supported over 100 startups with market capitalization of over 100 million yuan, and finally realizes the win-win of industry and users. According to statistics, the company has more than 20 entrepreneurial bases nationwide, and more than 3,000 product teams have applied for entering the bases. The number of entrepreneurs has exceeded 5 million, and the total market value of the companies has reached 200 billion. The bases provide opportunities and platforms for entrepreneurs to realize their dreams, inject fresh blood into the Internet industry ecosystem continuously, and also create one-stop online life for hundreds of millions of Internet users.
Economic Benefit
On the one hand, Tencent’s efforts in the interconnection of entrepreneur product, business sharing, interactive Internets or mutual authorization of content has greatly enriched the content and industrial chain of Tencent, which further builds the open and win-win platform; on the other hand, the high value-added products and services derived from the relationship chains, realizes the value creation of "1 + 1 > 2", and increases the user viscosity and makes Tencent profitable.
Prospect
In Future, Tencent will be more open and work with partners to build a new ecosystems across the screens and boundaries and cultivate an open “ecology”. It will create more valuable Internet services and promote more extensive cooperation with partners in products interconnection, business sharing, interactive Internets or mutual authorization of content to jointly create a more open and diverse Internet ecology.