News Analysis
Declining revenues and mass layoffs at Tencent and Alibaba could mark the end of the “golden age” for China’s internet industry. The companies’ profits plunged in the second quarter of 2022, mainly caused by the decoupling of the U.S. and Chinese economies and by the market restrictions imposed by the Chinese Communist Party (CCP).
Chinese social media and entertainment conglomerate Tencent saw its revenue fall by 3 percent to $20 billion in the second quarter compared to the same period last year. This was Tencent’s first quarterly revenue decline since its stock launch in 2004, ending nearly two decades of growth….